How are tickets to charitable events treated?
Dinners, luncheons, galas, tournaments, circuses, and other events are often put on by charities to raise funds. Here are some points to consider before deciding to participate in such events. • Check out the charity. The fact that you are receiving a meal or theater tickets should not justify less scrutiny. • Remember, your purchase of tickets to such events is generally not fully deductible. Only the portion of your gift above the “fair market value” of the benefit received (i.e., the meal, show, etc.) is deductible as a charitable donation. This rule holds true even if you decide to give your tickets away for someone else to use. Tip: If you decide not to use the tickets, give them back to the charity. In order to be able to deduct the full amount paid, you must either refuse to accept the tickets or return them to the charitable organization. In this way, you will not have received value for your payment. Tip: Make donations by check or money order out to the full name of the chari
A. Dinners, luncheons, galas, tournaments, circuses, and other events are often put on by charities to raise funds. Here are some points to consider before deciding to participate in such events. • Check out the charity. The fact that you are receiving a meal or theater tickets should not justify less scrutiny. • Remember, your purchase of tickets to such events is generally not fully deductible. Only the portion of your gift above the “fair market value” of the benefit received (i.e., the meal, show, etc.) is deductible as a charitable donation. This rule holds true even if you decide to give your tickets away for someone else to use.
