Table of Contents
- What's New
- Reminders
- Introduction
- Useful Items - You may want to see:
- Organizations That Qualify To Receive Deductible Contributions
- Contributions You Can Deduct
- Contributions You Cannot Deduct
- Contributions of Property
- Exception.
- Household items.
- Form 1098-C.
- Exception 1—vehicle used or improved by organization.
- Exception 2—vehicle given or sold to needy individual.
- Right to use property.
- Tangible personal property.
- Future interest.
- Determining Fair Market Value
- Giving Property That Has Decreased in Value
- Giving Property That Has Increased in Value
- When To Deduct
- Limits on Deductions
- Records To Keep
- How To Report
Midwestern disaster areas. If you make a charitable contribution for relief efforts related to the storms, tornadoes, or flooding in a Midwestern disaster area, you may be able to:
-
Use a higher standard mileage rate to figure any out-of-pocket expenses you had in giving services,
-
Exclude any mileage reimbursements from income, and
-
Claim a deduction in excess of the usual limits described under Limits on Deductions in this chapter.
See Publication 4492-B for details about all the tax benefits related to Midwestern disaster areas, or see Publication 526 for more details about charitable contributions for relief efforts in Midwestern disaster areas.
Limit on itemized deductions. If your adjusted gross income is more than $159,950 ($79,975 if you are married filing separately), the overall amount of your itemized deductions may be limited. See chapter 29 for more information about this limit.
This chapter explains how to claim a deduction for your charitable contributions. It discusses the following topics.
-
Organizations that are qualified to receive deductible charitable contributions.
-
The types of contributions you can deduct.
-
How much you can deduct.
-
What records to keep.
-
How to report your charitable contributions.
A charitable contribution is a donation or gift to, or for the use of, a qualified organization. It is voluntary and is made without getting, or expecting to get, anything of equal value.
Publication
-
78 Cumulative List of Organizations
-
526 Charitable Contributions
-
561 Determining the Value of Donated Property
Form (and Instructions)
-
Schedule A (Form 1040) Itemized Deductions
-
8283 Noncash Charitable Contributions
You can deduct your contributions only if you make them to a qualified organization. To become a qualified organization, most organizations other than churches and governments, as described below, must apply to the IRS.
You can ask any organization whether it is a qualified organization, and most will be able to tell you. Or you can check IRS Publication 78, which lists most qualified organizations. You may find Publication 78 in your local library's reference section. Or you can find it on the Internet at apps.irs.gov/app/pub78. You can also call the IRS at 1-877-829-5500 to find out if an organization is qualified. (For TTY/TDD help, call 1-800-829-4059).Generally, only the five following types of organizations can be qualified organizations.
-
A community chest, corporation, trust, fund, or foundation organized or created in or under the laws of the United States, any state, the District of Columbia, or any possession of the United States (including Puerto Rico). It must be organized and operated only for one or more of the following purposes.
-
Religious.
-
Charitable.
-
Educational.
-
Scientific.
-
Literary.
-
The prevention of cruelty to children or animals.
Certain organizations that foster national or international amateur sports competition also qualify.
-
-
War veterans' organizations, including posts, auxiliaries, trusts, or foundations, organized in the United States or any of its possessions.
-
Domestic fraternal societies, orders, and associations operating under the lodge system.
Note. Your contribution to this type of organization is deductible only if it is to be used solely for charitable, religious, scientific, literary, or educational purposes, or for the prevention of cruelty to children or animals.
-
Certain nonprofit cemetery companies or corporations.
Note. Your contribution to this type of organization is not deductible if it can be used for the care of a specific lot or mausoleum crypt.
-
The United States or any state, the District of Columbia, a U.S. possession (including Puerto Rico), a political subdivision of a state or U.S. possession, or an Indian tribal government or any of its subdivisions that perform substantial government functions.
Note. To be deductible, your contribution to this type of organization must be made solely for public purposes.
-
Churches, a convention or association of churches, temples, synagogues, mosques, and other religious organizations.
-
Most nonprofit charitable organizations such as the Red Cross and the United Way.
-
Most nonprofit educational organizations, including the Boy (and Girl) Scouts of America, colleges, museums, and daycare centers if substantially all the child care provided is to enable individuals (the parents) to be gainfully employed and the services are available to the general public. However, if your contribution is a substitute for tuition or other enrollment fee, it is not deductible as a charitable contribution, as explained later under Contributions You Cannot Deduct.
-
Nonprofit hospitals and medical research organizations.
-
Utility company emergency energy programs, if the utility company is an agent for a charitable organization that assists individuals with emergency energy needs.
-
Nonprofit volunteer fire companies.
-
Public parks and recreation facilities.
-
Civil defense organizations.
Generally, you can deduct your contributions of money or property that you make to, or for the use of, a qualified organization. A gift or contribution is “for the use of” a qualified organization when it is held in a legally enforceable trust for the qualified organization or in a similar legal arrangement. The contributions must be made to a qualified organization and not set aside for use by a specific person.
If you give property to a qualified organization, you generally can deduct the fair market value of the property at the time of the contribution. See Contributions of Property, later in this chapter.
Your deduction for charitable contributions is generally limited to 50% of your adjusted gross income, but in some cases 20% and 30% limits may apply. See Limits on Deductions, later.
In addition, the total of your charitable contributions deduction and certain other itemized deductions may be limited. See chapter 29.
Table 24-1 lists some examples of contributions you can deduct and some that you cannot deduct.
If you receive a benefit as a result of making a contribution to a qualified organization, you can deduct only the amount of your contribution that is more than the value of the benefit you receive. Also, see Contributions From Which You Benefit under Contributions You Cannot Deduct , later.
If you pay more than fair market value to a qualified organization for merchandise, goods, or services, the amount you pay that is more than the value of the item can be a charitable contribution. For the excess amount to qualify, you must pay it with the intent to make a charitable contribution.
Example 1.
You pay $65 for a ticket to a dinner-dance at a church. All of the proceeds of the function go to the church. The ticket to the dinner-dance has a fair market value of $25. When you buy your ticket, you know that its value is less than your payment. To figure the amount of your charitable contribution, you subtract the value of the benefit you receive ($25) from your total payment ($65). You can deduct $40 as a contribution to the church.
Example 2.
At a fund-raising auction conducted by a charity, you pay $600 for a week's stay at a beach house. The amount you pay is no more than the fair rental value. You have not made a deductible charitable contribution.
Example 1.
You pay $300 a year for membership in an athletic scholarship program maintained by a university (a qualified organization). The only benefit of membership is that you have the right to buy one season ticket for a seat in a designated area of the stadium at the university's home football games. You can deduct $240 (80% of $300) as a charitable contribution.
Table 24-1. Examples of Charitable Contributions—A Quick Check
Example 2.
The facts are the same as in Example 1 except that your $300 payment included the purchase of one season ticket for the stated ticket price of $120. You must subtract the usual price of a ticket ($120) from your $300 payment. The result is $180. Your deductible charitable contribution is $144 (80% of $180).
-
Any rights or privileges, other than those discussed under Athletic events, earlier, that you can use frequently while you are a member, such as:
-
Free or discounted admission to the organization's facilities or events,
-
Free or discounted parking,
-
Preferred access to goods or services, and
-
Discounts on the purchase of goods and services.
-
-
Admission, while you are a member, to events that are open only to members of the organization, if the organization reasonably projects that the cost per person (excluding any allocated overhead) is not more than $9.10.
-
You get a small item or other benefit of token value.
-
The qualified organization correctly determines that the value of the item or benefit you received is not substantial and informs you that you can deduct your payment in full.
-
The organization is:
-
The type of organization described in (5) under Types of Qualified Organizations, earlier, or
-
Formed only for religious purposes, and the only benefit you receive is an intangible religious benefit (such as admission to a religious ceremony) that generally is not sold in commercial transactions outside the donative context.
-
-
You receive only items whose value is not substantial as described under Token items, earlier.
-
You receive only membership benefits that can be disregarded, as described earlier.
You may be able to deduct some expenses of having a student live with you. You can deduct qualifying expenses for a foreign or American student who:
-
Lives in your home under a written agreement between you and a qualified organization as part of a program of the organization to provide educational opportunities for the student,
-
Is not your relative or dependent, and
-
Is a full-time student in the twelfth or any lower grade at a school in the United States.
You can deduct up to $50 a month for each full calendar month the student lives with you. Any month when conditions (1) through (3) above are met for 15 days or more counts as a full month.
For additional information, see Expenses Paid for Student Living With You in Publication 526.
Table 24-2. Volunteers' Questions and Answers
If you do volunteer work for a qualified organization, the following questions and answers may apply to you. All of the rules explained in this chapter also apply. See, in particular, Out-of-Pocket Expenses in Giving Services . | |
Question | Answer |
I do volunteer work 6 hours a week in the office of a qualified organization. The receptionist is paid $10 an hour to do the
same work I do. Can I deduct $60 a week for my time? |
No, you cannot deduct the value of your time or services. |
The office is 30 miles from my home. Can I deduct any of my car expenses for these trips? | Yes, you can deduct the costs of gas and oil that are directly related to getting to and from the place where you are a volunteer. If you don't want to figure your actual costs, you can deduct 14 cents for each mile. |
I volunteer as a Red Cross nurse's aide at a hospital. Can I deduct the cost of uniforms that I must wear? | Yes, you can deduct the cost of buying and cleaning your uniforms if the hospital is a qualified organization, the uniforms are not suitable for everyday use, and you must wear them when volunteering. |
I pay a babysitter to watch my children while I do volunteer work for a qualified organization. Can I deduct these costs? | No, you cannot deduct payments for child care expenses as a charitable contribution, even if they are necessary so you can do volunteer work for a qualified organization. (If you have child care expenses so you can work for pay, see chapter 32.) |
Although you cannot deduct the value of your services given to a qualified organization, you may be able to deduct some amounts you pay in giving services to a qualified organization. The amounts must be:
-
Unreimbursed,
-
Directly connected with the services,
-
Expenses you had only because of the services you gave, and
-
Not personal, living, or family expenses.
Table 24-2 contains questions and answers that apply to some individuals who volunteer their services.
-
They are unreimbursed out-of-pocket expenses to feed, clothe, and care for the foster child.
-
They must be mainly to benefit the qualified organization.
Example 1.
You are a troop leader for a tax-exempt youth group and you help take the group on a camping trip. You are responsible for overseeing the setup of the camp and for providing adult supervision for other activities during the entire trip. You participate in the activities of the group and really enjoy your time with them. You oversee the breaking of camp and you help transport the group home. You can deduct your travel expenses.
Example 2.
You sail from one island to another and spend 8 hours a day counting whales and other forms of marine life. The project is sponsored by a charitable organization. In most circumstances, you cannot deduct your expenses.
-
Air, rail, and bus transportation,
-
Out-of-pocket expenses for your car,
-
Taxi fares or other costs of transportation between the airport or station and your hotel,
-
Lodging costs, and
-
The cost of meals.
There are some contributions you cannot deduct, such as those made to specific individuals and those made to nonqualified organizations. (See Contributions to Individuals and Contributions to Nonqualified Organizations, next.) There are others you can deduct only part of, as discussed later under Contributions From Which You Benefit.
You cannot deduct contributions to specific individuals, including the following.
-
Contributions to fraternal societies made for the purpose of paying medical or burial expenses of deceased members.
-
Contributions to individuals who are needy or worthy. This includes contributions to a qualified organization if you indicate that your contribution is for a specific person. But you can deduct a contribution that you give to a qualified organization that in turn helps needy or worthy individuals if you do not indicate that your contribution is for a specific person.
Example. You can deduct contributions for flood relief, hurricane relief, or other disaster relief to a qualified organization. However, you cannot deduct contributions earmarked for relief of a particular individual or family.
-
Payments to a member of the clergy that can be spent as he or she wishes, such as for personal expenses.
-
Expenses you paid for another person who provided services to a qualified organization.
Example. Your son does missionary work. You pay his expenses. You cannot claim a deduction for your son's unreimbursed expenses related to his contribution of services.
-
Payments to a hospital that are for a specific patient's care or for services for a specific patient. You cannot deduct these payments even if the hospital is operated by a city, a state, or other qualified organization.
You cannot deduct contributions to organizations that are not qualified to receive tax-deductible contributions, including the following.
-
Certain state bar associations if:
-
The state bar is not a political subdivision of a state,
-
The bar has private, as well as public, purposes, such as promoting the professional interests of members, and
-
Your contribution is unrestricted and can be used for private purposes.
-
-
Chambers of commerce and other business leagues or organizations (but see chapter 28).
-
Civic leagues and associations.
-
Communist organizations.
-
Country clubs and other social clubs.
-
Foreign organizations other than:
-
A U.S. organization that transfers funds to a charitable foreign organization if the U.S. organization controls the use of the funds or if the foreign organization is only an administrative arm of the U.S. organization, or
-
Certain Canadian, Israeli, or Mexican charitable organizations. See Certain foreign charitable organizations under Organizations That Qualify To Receive Deductible Contributions, earlier.
-
-
Homeowners' associations.
-
Labor unions (but see chapter 28).
-
Political organizations and candidates.
If you receive or expect to receive a financial or economic benefit as a result of making a contribution to a qualified organization, you cannot deduct the part of the contribution that represents the value of the benefit you receive. See Contributions From Which You Benefit under Contributions You Can Deduct, earlier. These contributions include the following.
-
Contributions for lobbying. This includes amounts that you earmark for use in, or in connection with, influencing specific legislation.
-
Contributions to a retirement home that are clearly for room, board, maintenance, or admittance. Also, if the amount of your contribution depends on the type or size of apartment you will occupy, it is not a charitable contribution.
-
Costs of raffles, bingo, lottery, etc. You cannot deduct as a charitable contribution amounts you pay to buy raffle or lottery tickets or to play bingo or other games of chance. For information on how to report gambling winnings and losses, see chapters 12 and 28.
-
Dues to fraternal orders and similar groups. However, see Membership fees or dues, earlier, under Contributions You Can Deduct.
-
Tuition, or amounts you pay instead of tuition, even if you pay them for children to attend parochial schools or qualifying nonprofit day-care centers. You also cannot deduct any fixed amount you may be required to pay in addition to the tuition fee to enroll in a private school, even if it is designated as a “donation.”
You cannot deduct personal, living, or family expenses, such as the following items.
-
The cost of meals you eat while you perform services for a qualified organization unless it is necessary for you to be away from home overnight while performing the services.
-
Adoption expenses, including fees paid to an adoption agency and the costs of keeping a child in your home before adoption is final (but see Adoption Credit in chapter 37, and the instructions for Form 8839, Qualified Adoption Expenses). You also may be able to claim an exemption for the child. See Adopted child in chapter 3.
Fees that you pay to find the fair market value of donated property are not deductible as contributions (but see chapter 28).
If you contribute property to a qualified organization, the amount of your charitable contribution is generally the fair market value of the property at the time of the contribution. However, if the property has increased in value, you may have to make some adjustments to the amount of your deduction. See Giving Property That Has Increased in Value, later.
For information about the records you must keep and the information you must furnish with your return if you donate property, see Records To Keep and How To Report, later.
-
Furniture,
-
Furnishings,
-
Electronics,
-
Appliances,
-
Linens, and
-
Other similar items.
-
Food,
-
Paintings, antiques, and other objects of art,
-
Jewelry and gems, and
-
Collections.
A qualified vehicle is:
-
A car or any motor vehicle manufactured mainly for use on public streets, roads, and highways,
-
A boat, or
-
An airplane.
-
The gross proceeds from the sale of the vehicle by the organization, or
-
The vehicle's fair market value on the date of the contribution. If the vehicle's fair market value was more than your cost or other basis, you may have to reduce the fair market value to figure the deductible amount, as described under Giving Property That Has Increased in Value, later.
Example.
Anita donates a used car to a qualified organization. She bought it 3 years ago for $9,000. A used car guide shows the fair market value for this type of car is $6,000. However, Anita gets a Form 1098-C from the organization showing the car was sold for $2,900. Neither exception 1 nor exception 2 applies. If Anita itemizes her deductions, she can deduct $2,900 for her donation. She must attach Form 1098-C and Form 8283 to her return.
-
$500, or
-
The vehicle's fair market value on the date of the contribution. But if the vehicle's fair market value was more than your cost or other basis, you may have to reduce the fair market value to get the deductible amount, as described under Giving Property That Has Increased in Value later.
This section discusses general guidelines for determining the fair market value of various types of donated property. Publication 561 contains a more complete discussion.
Fair market value is the price at which property would change hands between a willing buyer and a willing seller, neither having to buy or sell, and both having reasonable knowledge of all the relevant facts.
Example.
You donate a used car in poor condition to a local high school for use by students studying car repair. A used car guide shows the dealer retail value for this type of car in poor condition is $1,600. However, the guide shows the price for a private party sale of the car is only $750. The fair market value of the car is considered to be $750.
If you contribute property with a fair market value that is less than your basis in it, your deduction is limited to its fair market value. You cannot claim a deduction for the difference between the property's basis and its fair market value.
If you contribute property with a fair market value that is more than your basis in it, you may have to reduce the fair market value by the amount of appreciation (increase in value) when you figure your deduction.
Your basis in property is generally what you paid for it. See chapter 13 if you need more information about basis.
Different rules apply to figuring your deduction, depending on whether the property is:
-
Ordinary income property, or
-
Capital gain property.
Example.
You donate stock that you held for 5 months to your church. The fair market value of the stock on the day you donate it is $1,000, but you paid only $800 (your basis). Because the $200 of appreciation would be short-term capital gain if you sold the stock, your deduction is limited to $800 (fair market value minus the appreciation).
You can deduct your contributions only in the year you actually make them in cash or other property (or in a later carryover year, as explained later under Carryovers). This applies whether you use the cash or an accrual method of accounting.
If your total contributions for the year are 20% or less of your adjusted gross income, you do not need to read this section. The limits discussed here do not apply to you.
The amount of your deduction is limited to 50% of your adjusted gross income and may be limited to 30% or 20% of your adjusted gross income, depending on the type of property you give and the type of organization you give it to. A different limit applies to certain qualified conservation contributions. These limits are described here.
If your contributions are more than any of the limits that apply, see Carryovers, later.
This limit applies to the total of all charitable contributions you make during the year. This means that your deduction for charitable contributions cannot be more than 50% of your adjusted gross income for the year.
Generally, the 50% limit is the only limit that applies to gifts to organizations listed below under 50% limit organizations. But there is one exception. A special 30% limit also applies to these gifts if they are gifts of capital gain property for which you figure your deduction using fair market value without reduction for appreciation. (See Special 30% Limit for Capital Gain Property, later.)
-
Churches and conventions or associations of churches.
-
Educational organizations with a regular faculty and curriculum that normally have a regularly enrolled student body attending classes on site.
-
Hospitals and certain medical research organizations associated with these hospitals.
-
Publicly supported charities.
-
Private operating foundations.
-
Private nonoperating foundation. Private nonoperating foundations that make qualifying distributions of 100% of contributions within 2½ months following the year they receive the contributions.
-
Private foundation. Certain private foundations whose contributions are pooled in a common fund, the income and principal of which are paid to public charities.
A 30% limit applies to the following gifts.
However, if these gifts are of capital gain property, they are subject to the 20% limit, described later, rather than the 30% limit.
A special 30% limit applies to gifts of capital gain property to 50% limit organizations. (For gifts of capital gain property to other organizations, see 20% Limit, later.) However, the special 30% limit does not apply when you choose to reduce the fair market value of the property by the amount that would have been long-term capital gain if you had sold the property. Instead, only the 50% limit applies.
Example.
Your adjusted gross income is $50,000. During the year, you gave capital gain property with a fair market value of $15,000 to a 50% limit organization. You do not choose to reduce the property's fair market value by its appreciation in value. You also gave $10,000 cash to a qualified organization that is not a 50% limit organization. The $15,000 gift of property is subject to the special 30% limit. The $10,000 cash gift is subject to the other 30% limit. Both gifts are fully deductible because neither is more than the 30% limit that applies ($15,000 in each case) and together they are not more than the 50% limit ($25,000).
For more information, see the rules for electing the 50% limit for capital gain property under How To Figure Your Deduction When Limits Apply in Publication 526.
This limit applies to all gifts of capital gain property to or for the use of qualified organizations (other than gifts of capital gain property to 50% limit organizations).
The special 30% limit does not apply to qualified conservation contributions (QCCs). Instead, a 50% limit applies. For qualified farmers and ranchers, QCCs are deductible up to 100% of adjusted gross income. See Publication 526 for details.
You can carry over your contributions that you are not able to deduct in the current year because they exceed your adjusted-gross-income limits. You can deduct the excess in each of the next 5 years until it is used up, but not beyond that time. For more information, see Carryovers in Publication 526.
You must keep records to prove the amount of the contributions you make during the year. The kind of records you must keep depends on the amount of your contributions and whether they are:
-
Cash contributions,
-
Noncash contributions, or
-
Out-of-pocket expenses when donating your services.
Note.
An organization generally must give you a written statement if it receives a payment from you that is more than $75 and is partly a contribution and partly for goods or services. (See Contributions From Which You Benefit under Contributions You Can Deduct, earlier.) Keep the statement for your records. It may satisfy all or part of the recordkeeping requirements explained in the following discussions.
Cash contributions include those paid by cash, check, electronic funds transfer, credit card, or payroll deduction.
You cannot deduct a cash contribution, regardless of the amount, unless you keep one of the following.
-
A bank record that shows the name of the qualified organization, the date of the contribution, and the amount of the contribution. Bank records may include:
-
A canceled check,
-
A bank or credit union statement, or
-
A credit card statement.
-
-
A receipt (or a letter or other written communication) from the qualified organization showing the name of the organization, the date of the contribution, and the amount of the contribution.
-
The payroll deduction records described next.
-
A pay stub, Form W-2, or other document furnished by your employer that shows the date and amount of the contribution, and
-
A pledge card or other document prepared by or for the qualified organization that shows the name of the organization.
You can claim a deduction for a contribution of $250 or more only if you have an acknowledgment of your contribution from the qualified organization or certain payroll deduction records.
If you made more than one contribution of $250 or more, you must have either a separate acknowledgment for each or one acknowledgment that lists each contribution and the date of each contribution and shows your total contributions.
-
It must be written.
-
It must include:
-
The amount of cash you contributed,
-
Whether the qualified organization gave you any goods or services as a result of your contribution (other than certain token items and membership benefits),
-
A description and good faith estimate of the value of any goods or services described in (b) (other than intangible religious benefits), and
-
A statement that the only benefit you received was an intangible religious benefit, if that was the case. The acknowledgment does not need to describe or estimate the value of an intangible religious benefit. An intangible religious benefit is a benefit that generally is not sold in commercial transactions outside a donative (gift) context. An example is admission to a religious ceremony.
-
-
You must get it on or before the earlier of:
-
The date you file your return for the year you make the contribution, or
-
The due date, including extensions, for filing the return.
-
-
A pay stub, Form W-2, or other document furnished by your employer that shows the amount withheld as a contribution, and
-
A pledge card or other document prepared by or for the qualified organization that shows the name of the organization and states the organization does not provide goods or services in return for any contribution made to it by payroll deduction.
For a contribution not made in cash, the records you must keep depend on whether your deduction for the contribution is:
-
Less than $250,
-
At least $250 but not more than $500,
-
Over $500 but not more than $5,000, or
-
Over $5,000.
If you make any noncash contribution, you must get and keep a receipt from the charitable organization showing:
-
The name of the charitable organization,
-
The date and location of the charitable contribution, and
-
A reasonably detailed description of the property.
A letter or other written communication from the charitable organization acknowledging receipt of the contribution and containing the information in (1), (2), and (3) will serve as a receipt.
You are not required to have a receipt where it is impractical to get one (for example, if you leave property at a charity's unattended drop site).
-
The name and address of the organization to which you contributed.
-
The date and location of the contribution.
-
A description of the property in detail reasonable under the circumstances. For a security, keep the name of the issuer, the type of security, and whether it is regularly traded on a stock exchange or in an over-the-counter market.
-
The fair market value of the property at the time of the contribution and how you figured the fair market value. If it was determined by appraisal, keep a signed copy of the appraisal.
-
The cost or other basis of the property if you must reduce its fair market value by appreciation. Your records should also include the amount of the reduction and how you figured it. If you choose the 50% limit instead of the special 30% limit on certain capital gain property, you must keep a record showing the years for which you made the choice, contributions for the current year to which the choice applies, and carryovers from preceding years to which the choice applies. See How To Figure Your Deduction When Limits Apply in Publication 526 for information on how to make the capital gain property election.
-
The amount you claim as a deduction for the tax year as a result of the contribution, if you contribute less than your entire interest in the property during the tax year. Your records must include the amount you claimed as a deduction in any earlier years for contributions of other interests in this property. They must also include the name and address of each organization to which you contributed the other interests, the place where any such tangible property is located or kept, and the name of any person in possession of the property, other than the organization to which you contributed.
-
The terms of any conditions attached to the gift of property.
If you claim a deduction of at least $250 but not more than $500 for a noncash charitable contribution, you must get and keep an acknowledgment of your contribution from the qualified organization. If you made more than one contribution of $250 or more, you must have either a separate acknowledgment for each or one acknowledgment that shows your total contributions.
The acknowledgment must contain the information in items (1) through (3) listed under Deductions of Less Than $250, earlier, and your written records must include the information listed in that discussion under Additional records.
The acknowledgment must also meet these tests.
-
It must be written.
-
It must include:
-
A description (but not necessarily the value) of any property you contributed,
-
Whether the qualified organization gave you any goods or services as a result of your contribution (other than certain token items and membership benefits), and
-
A description and good faith estimate of the value of any goods or services described in (b). If the only benefit you received was an intangible religious benefit (such as admission to a religious ceremony) that generally is not sold in a commercial transaction outside the donative context, the acknowledgment must say so and does not need to describe or estimate the value of the benefit.
-
-
You must get it on or before the earlier of:
-
The date you file your return for the year you make the contribution, or
-
The due date, including extensions, for filing the return.
-
You are required to give additional information if you claim a deduction over $500 for noncash charitable contributions. See Records To Keep in Publication 526 for more information.
If you render services to a qualified organization and have unreimbursed out-of-pocket expenses related to those services, the following three rules apply.
-
You must have adequate records to prove the amount of the expenses.
-
You must get an acknowledgment from the qualified organization that contains:
-
A description of the services you provided,
-
A statement of whether or not the organization provided you any goods or services to reimburse you for the expenses you incurred,
-
A description and a good faith estimate of the value of any goods or services (other than intangible religious benefits) provided to reimburse you, and
-
A statement that the only benefit you received was an intangible religious benefit, if that was the case. The acknowledgment does not need to describe or estimate the value of an intangible religious benefit (defined earlier under Acknowledgment).
-
-
You must get the acknowledgment on or before the earlier of:
-
The date you file your return for the year you make the contribution, or
-
The due date, including extensions, for filing the return.
-
More Online Publications |