What are the IRS restrictions regarding the tax deductibility of donations?
Fully Deductible: When a donor gives money to a charity and receives NOTHING in exchange for the gift, that deduction is fully tax deductible under the law. Partially Deductible: When a donor gives money to a charity and receives GOODS OR SERVICES in exchange (like a performance, a reception, a DVD, a t-shirt), s/he is only entitled to a tax-deduction for the amount that was overpaid. In these cases, it is generally the recipient organization’s responsibility to estimate the “net contribution”. Sometimes Deductible: When a donor gives tangible goods (aka: physical property something you can touch) the donation is tax-deductible based on the donor’s estimate of the item’s value. Office supplies, equipment, etc. are included in this category. NOTE: Fractured Atlas cannot accept or process vehicle donations (although a car does qualify as a tangible item). Never Deductible: When a donor gives pro-bono services (like fundraising, legal advice or graphic design) these are NOT considered tax
