14-Oct-2020 11:43am
14-Oct-2020 11:57am
14-Oct-2020 12:03pm
What would you do?
14-Oct-2020 12:03pm
Contributions of $250 or More
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.
Amount of contribution. In figuring whether your contribution is $250 or more, don't combine separate contributions. For example, if you gave your church $25 each week, your weekly payments don't have to be combined. Each payment is a separate contribution.
Separate contributions of less than $250 are not subject to the requirements of section 170(f)(8), regardless of whether the sum of the contributions made by a taxpayer to a donee organization during a taxable year equals $250 or more.
14-Oct-2020 12:07pm
14-Oct-2020 12:09pm
14-Oct-2020 12:43pm
Nilodop wrote:Tes but OP also says I have repeatedly told him that he needs a receipt from church. which isn't correct.
14-Oct-2020 1:00pm
14-Oct-2020 1:17pm
(ii) Application of $250 threshold. For the purpose of applying the
$250 threshold provided in section 170(f)(8)(A) to contributions made by the
means described in paragraph (f)(11)(i) of this section, the amount withheld
from each payment of wages to a taxpayer is treated as a separate
contribution.
Substantiation of Multiple Contributions
Several commenters asked whether the substantiation requirements apply to multiple contributions totaling $250 or more made to a single charity during a single year, when each contribution is less than $250. The conference report accompanying the Omnibus Budget Reconciliation Act of 1993 indicates that separate payments will be treated as separate contributions and will not be aggregated for purposes of applying the $250 threshold. H.R. Conf. Rep. No. 213, 103d Cong., 1st Sess. 565, n. 29 (1993). If there is no separate payment of $250 or more, substantiation under section 170(f)(8) is not required, even if the sum of the separate payments is $250 or more. Section 1.170A–13(f)(1) has been modified to clarify this. A commenter asked whether there must be a separate contemporaneous written ac knowledgment for each contribution of $250 or more. Section 1.170A–13(f)(1) has been modified to clarify that for multiple contributions of $250 or more to one charity, one acknowledgment that reflects the total amount of the taxpay er’s contributions to the charity for the year is sufficient.
Separate contributions of less than $250 are not subject to the require ments of section 170(f)(8), regardless of whether the sum of the contributions made by a taxpayer to a donee organiza tion during a taxable year equals $250 or more.
14-Oct-2020 1:23pm
For example, the client can claim weekly cash donations of $249 to church (52 weeks) and no receipt is required. Correct?
14-Oct-2020 2:47pm
For example, the client can claim weekly cash donations of $249 to church (52 weeks) and no receipt is required. Correct?
14-Oct-2020 3:44pm
. Usually, I quit there, but in this thread I posted other sources. When will it end?Amount of contribution. In figuring whether your contribution is $250 or more, don't com- bine separate contributions. For example, if you gave your church $25 each week, your weekly payments don't have to be combined. Each payment is a separate contribution.
If contributions are made by payroll deduc- tion, the deduction from each paycheck is trea- ted as a separate contribution.
If you made a payment that is partly for goods and services, as described earlier under Contributions From Which You Benefit, your contribution is the amount of the payment that is more than the value of the goods and services.
14-Oct-2020 4:29pm
14-Oct-2020 9:11pm
14-Oct-2020 9:23pm
(1) In general. If a taxpayer makes a charitable contribution of money in a taxable year beginning after December 31, 1982, the taxpayer shall maintain for each contribution one of the following:
(i) A cancelled check.
(ii) A receipt from the donee charitable organization showing the name of the donee, the date of the contribution, and the amount of the contribution. A letter or other communication from the donee charitable organization acknowledging receipt of a contribution and showing the date and amount of the contribution constitutes a receipt for purposes of this paragraph (a).
(iii) In the absence of a canceled check or receipt from the donee charitable organization, other reliable written records showing the name of the donee, the date of the contribution, and the amount of the contribution.
(2) Special rules -
(i) Reliability of records. The reliability of the written records described in paragraph (a)(1)(iii) of this section is to be determined on the basis of all of the facts and circumstances of a particular case. In all events, however, the burden shall be on the taxpayer to establish reliability. Factors indicating that the written records are reliable include, but are not limited to:
(A) The contemporaneous nature of the writing evidencing the contribution.
(B) The regularity of the taxpayer's recordkeeping procedures. For example, a contemporaneous diary entry stating the amount and date of the donation and the name of the donee charitable organization made by a taxpayer who regularly makes such diary entries would generally be considered reliable.
(C) In the case of a contribution of a small amount, the existence of any written or other evidence from the donee charitable organization evidencing receipt of a donation that would not otherwise constitute a receipt under paragraph (a)(1)(ii) of this section (including an emblem, button, or other token traditionally associated with a charitable organization and regularly given by the organization to persons making cash donations).
15-Oct-2020 1:40am
Nilodop wrote:Does he keep the deduction?
15-Oct-2020 3:42am
15-Oct-2020 5:54am
Don't be fooled by the old "I put cash in the church plate" ruse. The guy is cheating on his taxes and you're being duped into going along with it.For everyone that demands documentation for everything I still say that we are allowed to use common sense and trust our clients.
15-Oct-2020 6:26am
15-Oct-2020 6:34am
1.170A-15(a) wrote:(1) Bank record or written communication required. No deduction is allowed under sections 170(a) and 170(f)(17) for a charitable contribution in the form of a cash, check, or other monetary gift, as described in paragraph (b)(1) of this section, unless the donor substantiates the deduction with a bank record, as described in paragraph (b)(2) of this section, or a written communication, as described in paragraph (b)(3) of this section, from the donee showing the name of the donee, the date of the contribution, and the amount of the contribution.