Prince Harry and Meghan Markle’s charity, the Archewell Foundation, has raised eyebrows by delaying the release of its latest tax return online, despite reportedly filing the document with the IRS on November 15, writes the Daily Mail.
The decision has sparked questions, particularly given the foundation’s high-profile status and previous controversy surrounding a missing $4 million in its last tax filing.
Delayed Release and Expert Reactions
Archewell has stated that the new 990 form will be made publicly available up to three weeks after the IRS deadline, starting December 2. While this delay is not uncommon for many charities, experts find it surprising in this instance. Cynthia Reed Altchek, a private wealth partner at the Katten law firm in New York, called the delay “a little odd,” noting that Archewell’s high-profile nature would typically call for immediate transparency.
“If Archewell missed the IRS deadline, it could face fines of up to $60,000,” Altchek added. Repeated late filings could also risk the foundation’s tax-exempt status.
Previous Filing Issues
Earlier this year, Archewell faced administrative challenges, including a temporary ban in California due to failure to submit an annual report and renewal fees. While this ban was later lifted, MailOnline revealed in September that $4 million was not declared in Archewell’s 2022 tax return.
The foundation declared $2 million in grants for 2022, leaving a discrepancy of $4 million. The missing amount appears tied to a $6 million donation from Fidelity Charitable and a smaller $10,050 donation from Tisbest Philanthropy. Archewell’s calendar-year tax system may have caused part of the $6 million to spill over into the next year’s filing, although this has not been confirmed.
Transparency Promises Questioned
On its website, Archewell emphasizes “complete transparency” and lists its 2021 and 2022 tax returns but has not yet posted the latest one. Above the available tax forms, the charity insists it operates “in compliance with all deadlines and measures of the charitable sector.” However, the missing 2023 return has led to scrutiny.
Donor Speculation and Anonymous Contributions
Large donations to Archewell have previously come from anonymous donors, leading to speculation about the charity’s funding sources. In 2021, a $10 million anonymous donation was funneled through the Silicon Valley Community Foundation, a vehicle for ultra-wealthy philanthropists to make tax-free grants. Fidelity Charitable, the source of the $6 million donation, may similarly serve as a vessel for anonymous contributors.
Potential Impact on Archewell’s Reputation
The ongoing issues with Archewell’s tax filings have raised questions about its operations and financial transparency. While delays in releasing tax returns are common, Archewell’s prominent status and prior filing discrepancies have amplified public interest.
The foundation’s representatives and the IRS have yet to comment on the situation. As the new filing awaits publication, observers will be watching closely to see if Archewell can resolve concerns and reinforce its commitment to transparency and compliance.
