You do not indicate the tax status of your organization, or of the "foundation." Assuming that your organization is not a private foundation, there is no tax reason why it could not contribute to the new foundation. If it would be a very large contribution in comparison with other gifts received by the "foundation," however, it could cause the new entity to be classified as a private foundation instead of as a public charity.  If your organization is a 501(c)(3) public charity, that would not be an issue and your organization's contribution is all public support.  (See Ready Reference Pages: "Calculating Public Support"), If your organization is a membership organization that charges its members dues but is not a public charity, it may be a better result for the new foundation if your organization offers its members the opportunity to contribute directly to the new foundation. Such direct contributions will ordinarily constitute public support and help classify the new foundation as a public charity, rather than a private foundation.