2017-10-16T14:07:35-05:00 2016-11-30 910189318 Moss Adams LLP 805 SW Broadway Ste 1200 Portland OR 97205 990PF 2015-12-01 274260437 Rong Rong Family Foundation RONG 4085311589 4166 Astin Canyon Court San Jose CA 95121 DUNFA XI CEO 4085311589 2017-10-13 1 Wendy Campos P00448102 5032421447 2017-10-13 2015 2021-01-29 14:40:06Z X 712471 X 210000 24528 24528 24528 13720 0 0 401 0 401 234929 24528 24929 0 0 0 0 1365 683 0 682 2559 80 0 0 5918 5918 5918 12686 4936 4890 7750 22528 11617 10808 8432 1500 1500 24028 11617 10808 9932 210901 12911 14121 5815 95415 95415 0 0 7267 7267 7267 316688 20313 296281 296375 296375 326 0 0 201253 313414 313414 503675 712471 712471 12145 0 12145 0 X 585452 585452 0 0 -93922 127019 491530 712471 503675 712471 491530 210901 10040 712471 0 712471 0 5111 525293 0.009730 29821 319985 0.093195 31780 385437 0.082452 39618 110354 0.359008 5687 43205 0.131628 0.676013 0.135203 666928 90171 129 90300 9932 258 0 258 0 258 2080 2080 1822 0 1822 0 0 0 0 0 0 0 0 0 0 0 1 CA 1 1 0 0 0 1 N/A DUNFA XI 4086230766 4166 ASTIN CANYON CT SAN JOSE CA 95121 0 0 0 0 1 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 DUNFA XI 4166 ASTIN CANYON CT SAN JOSE CA 95121 CEO 2.00 0 0 0 WEIPING DOU 4166 ASTIN CANYON CT SAN JOSE CA 95121 CFO 1.00 0 0 0 NONE 0 NONE 0 PROVIDEd FREE BADMINTON LESSONS AND sponsored tournaments OPEN TO PUBLIC. 8432 0 0 46982 630102 677084 0 0 677084 10156 666928 33346 X 9932 0 9932 0 9932 2010-12-14 X 14121 10440 12187 4915 41663 12003 8874 10359 4178 35414 9932 5111 29821 31780 76644 1500 0 185 795 2480 8432 5111 29636 30985 74164 0 0 22231 17510 11790 12852 64383 0 0 0 0 DUNFA XI X Bay Badminton Training Academy 600 S Amphlett Blvd San Mateo CA 94402 NONE PC DONATION 1500 1500 0 16 13720 Federal Tax Refund 03 401 0 14121 0 14121 0 0 0 0 0 0 0 0 0 0 X X 1 DUNFA XI 4166 ASTIN CANYON CT SAN JOSE CA 95121 210000 X Accounting Fees 1365 683 0 682 1388 Northwood Drive - Residence 2013-05-16 43544 2792 SL 39.000000000000 1117 1117 1117 4730 Antelope Circle - Residence 2013-07-09 187258 11603 SL 39.000000000000 4801 4801 4801 1388 Northwood Drive - Land 2013-05-16 10886 L 39.000000000000 0 0 0 4730 Antelope Circle - Land 2013-07-09 75000 L 39.000000000000 0 0 0 Initial Taxes on Self-Dealing Form 4720; Schedule A The acts of self-dealing disclosed on this IRS Form 4720 filed on behalf of the Rong Rong Family Foundation (the "Foundation") are the result of certain inadvertent violations of the self-dealing rules resulting from the use by Mr. Xi, a director and officer of the Foundation, of certain Foundation assets for personal purposes based upon improper professional advice. Mr. Xi had hired a certified professional accountant, Mr. Jimmy J. Chen, CPA, to help him form the Foundation, structure its operations in compliance with California state and federal tax laws, and prepare its annual tax returns. Mr. Chen had advised Mr. Xi that the expenditure of Foundation funds for these purposes was appropriate. In seeking out the professional advice of Mr. Chen, Mr. Xi thought he had found a knowledgeable and trustworthy tax advisor. Mr. Chen was well regarded in the community and held himself out as an experienced CPA who could properly structure a private foundation and advise Mr. Xi regarding its operations. Unfortunately, Mr. Xi's trust and reliance on Mr. Chen were misplaced as evidenced by the fact that Mr. Chen is currently under indictment for tax fraud in connection with Mr. Chen's operation of his own private foundation and his use of that foundation to pay for personal expenses and evade California taxes. Mr. Xi's new tax advisors have advised him that certain expenses that Mr. Chen advised Mr. Xi could be claimed as expenses of the Foundation should have been characterized as Mr. Xi's personal, non-deductible expenses and, as a result, these prior allocations must be treated as acts of self-dealing. Accordingly, this Form 4720 discloses all of Mr. Xi's personal use of Foundation assets for this and prior tax years and, as of the date of this filing, Mr. Xi has corrected all of these prior acts of self-dealing. In addition, Mr. Xi will be filing a separate Form 4720 and paying the initial self-dealer excise tax resulting from these transactions. However, neither Mr. Xi nor any other "foundation manager" is liable for the Internal Revenue Code ("Code") section 4941(a)(2) excise tax applicable to a foundation manager who participates in an act of self-dealing, knowing that it is such an act, and who does so willfully and not due to reasonable cause. Treas. Reg. section 53.4941(a)-1(b)(1). As explained above, the misallocation of expenses giving rise to these acts of self-dealing were not willful mischaracterizations by Mr. Xi. Rather, these mischaracterizations were the result of relying on Mr. Chen's improper professional advice. Neither Mr. Xi nor any other foundation manager knew at the time that the misallocation of expenses constituted self-dealing, thus they cannot be held liable under Code section 4941(a)(2). See Treas. Reg. section 53.4941(a)-1(b)(3) (indicating that a person shall be considered to have participated in a self-dealing transaction "knowing" that is an act of self-dealing only if he is aware that such an act may violate the self-dealing rules, among other requirements); Treas. Reg. section 53.4941(a)-1(b)(4) (indicating that for participation to be willful, it must be "voluntary, conscious, and intentional"). 1388 Northwood Drive - Residence 43544 3909 39635 4730 Antelope Circle - Residence 187258 16404 170854 1388 Northwood Drive - Land 10886 0 10886 4730 Antelope Circle - Land 75000 0 75000 Menhart Prime LLC 100152 130152 130152 Investment 100000 183262 183262 Investment -ART 1100 ROUNDING 1 BANK CHARGES 46 46 0 0 State Filing Fee 60 0 0 60 PROGRAM EXPENSE 7690 0 0 7690 Property Taxes 763 763 763 0 Property Insurance 138 138 138 0 Repairs 95 95 95 0 Property Insurance 444 444 444 0 Property Taxes 3450 3450 3450 0 Federal Tax Refund 401 401 prior period adjustment 10040 ADVANCE FROM FOUNDER 12145 0 FEDERAL TAXES 2479 0 0 0 STATE TAXES 80 80 0 0