Tag Archive for Charitable Contribution

IRS On 506 Charitable Contribution Deductions

IRS On Charitable Contributions

You can only deduct charitable contributions if you itemize deductions on Form 1040, Schedule A, Itemized Deductions (PDF).

To be deductible, you must make charitable contributions to qualified organizations. Contributions to individuals are never deductible. To determine if the organization that you contributed to qualifies as a charitable organization for income tax deduction purposes, refer to our Tax Exempt Organization Search tool. For more information, see Publication 526, Charitable Contributions and Can I Deduct My Charitable Contributions?

If you receive a benefit from the contribution such as merchandise, goods or services, including admission to a charity ball, banquet, theatrical performance, or sporting event, you can only deduct the amount that exceeds the fair market value of the benefit received.

Read More

Written by | Posted in Charitable Contributions • TaxConnections

Types Of Charitable Contributions And The Most Common Way A Charitable Contribution Can Be Made

john r dundon

While working on the St. Peter 2016/17 Stewardship Campaign it became very clear to me that some very smart endowed good people simply do not know about the various types of charitable contributions that can be created or even simply how to charitably give.

Once you’ve recognized the significance of giving back, you may as well achieve some immediate tax benefits in the process. It all starts with understanding the terminology. Read More

Written by | Posted in TaxConnections

Accounting For Donor-Restricted Funds

Frequently, a charitable organization will be offered a contribution with restrictions on the use of that contribution.  The gift can be cash or any other asset. The organization is under no obligation to accept the gift with restrictions, but if it does, the donor restrictions must be honored. A distinction should be made between a conditional donation and a restricted one. A conditional donation is predicated on the occurrence or non-occurrence of a specific event. For example, the donor may specify that a contribution will be made to the organization’s building fund if a certain amount of additional funds are raised within a specified period of time. A doctor-restricted contribution may only be used for the purpose specified by the donor. As an example, the donor may make a contribution to a university scholarship fund, specifying that the funds will be awarded only to junior accounting majors with a GPA of 3.0 Read More

Written by | Posted in IRS • Non-Profit Tax