The IRS Deductions Blog

Posts Tagged ‘nonprofit’

Question: IRS verifying donations?

How does the IRS go about verifying that the amount of money donated is what you claim it is for a tax deduction?

Answer: The IRS conduct audits of returns and ask for proof of the donations. There are many reasons that a return could be selected for audit. Proof constitutes, canceled checks, acknowledgment letters, credit card receipts, contribution statements, etc. If you cannot provide the documents to support your charitable deduction, it will be disallowed and you will have to pay the extra tax plus penalties and interest and you are likely to have your charitable contributions in other years audited as well.

Richard K
HR Block

This advice was prepared based upon my understanding of the law in effect at the time it was written as it applies to the facts provided by you. See my profile for more details.

Items on Amazon Right Now for Irs Tax Deduction For Donations:

UPDATED: Year-end tax tips from local experts

SANDUSKY ‘Tis the season to pay taxes. The April 15 deadline to file a federal income tax return looms, and the folks who give advice on such things suggest giving that fact some concentrated attention well before April 14.

Personal Financial Planning Tips : How to Keep Proper Records for Donations

Question: why is the rental of fine art tax deductible?

Answer: Every expense that is justified for needs of the company is tax deductible (there are exceptions), the leasing of art (if justified by the needs of the company) is no exception to it.

Note that art owned by a company does not allow to depreciate it, however the capital loss (or gains) on the selling of corporate owned art is tax deductible. (depreciation of art is “impossible” since art has no preset lifespan).

Items on Amazon Right Now for Tax Deductible Art:

Community Calendar of SWLA

JANUARY 8 •Frederic Remington Makes Tracks Opening Reception On Friday, January 8, from 6 p.m. to 9 p.m., at the Historic 1911 City Hall Arts & Cultural Center, 1001 Ryan Street in Lake Charles, an Opening Reception will be held for ‘Frederic Remington Makes Tracks…Adventures and Artistic Impressions’ exhibition.

The 2009 Puppy & Kitten Art Show and Open House

Question: Charity donation Hotel in San Francisco?

I run a non profit childrens charity. I’m a full time volunteer with no other income. I need to be at a conference in San Francisco this coming week. I had a place to stay but if fell through. Does anyone know a hotel manager that could comp a room for a tax deduction from the charty? Or any other ideas for acomodation. Thanks so much for your help.

Answer: You could check with local churches in the area you plan to be in. They may have people in the congregation that will take people in for a good cause.

Items on Amazon Right Now for Volunteer Tax Deduction:

Top 10 tax time tips

While April 15 is more than three months away, here are the Internal Revenue Service’s top 10 tips that will help your filing process run smoother than ever this year.

Michigan Earned Income Tax Credit – Free tax preparation available

Question: Is interest on debt tax deductible in the UK?

Answer: If the loan was for a business purpose, then generally it is deductable against the income arising from that business.

There are complications on decucting interest on Buy to Let properties where if the mortgage is greater than the value of the property when first let and you have not reinvested the money extracted into buying more property within that taxable pool, then you may have to restrict the amount of interest you can claim.

Also if you work predominantly from home, then you can claim a proportion of the mortgage interest you pay against your business income. You need to make sure that you claim the right amount so that you dont fall foul of CGT rules but your accountant can guide you through this.

Kind regards

David Nicoll
“the accountant with attitude”

Items on Amazon Right Now for Debt Tax Deductible:

Benny L. Kass Mailbag

Consider refinancing to pay credit debt Q:We will soon have our mortgage paid off. Our home is valued at $120,000. Unfortunately, we owe about $50,000 in credit-card debt. I took early Social Security and work part time. My husband will take full Social Security next March and continue to work full time. So we had planned to pay extra on the debt with his Social Security check and the fact that …

Self Employment Tax Tips : Debt Cancellation: Self Employment Tax

Question: Income Tax Question – Form 8283 Charitable Deductions (noncash)?

I need a little help. I’ve been told 2 different things, so I need to confirm which is correct.

Answer: You can only deduct what the items may sell for. For donations to Goodwill or similar charities, that’s typically between 10¢ and 20¢ on the dollar of the new price of the items at best. If challenged at audit, you must be able to provide a detailed inventory of all items donated and the individual values of the items.

The rules on non-cash donations are complex. See IRS Pub 526 http://www.irs.gov/pub/irs-pdf/p526.pdf for general guidelines on charitable donations and IRS Pub 561 http://www.irs.gov/pub/irs-pdf/p561.pdf for more detailed information on establishing the value of donated property.

Items on Amazon Right Now for Is Goodwill Deductible:

Donations needed at Goodwill

Nonprofit agencies and charities are taking a financial hit this year, including Goodwill locations around West Michigan.

Goodwill Detroit-Cuisine for a Cause 2008