The Nonprofit FAQ

How to value donated goods.

Roger McCrummen writes: James, unless the rules have changed, I thought you only had to receipt the gift for the donor, but placing a value on it for tax purposes was the donor's responsibility. If that is not correct, I would appreciate someone responding. Thanks. And John H. Taylor says further: This is indeed correct. Your gift acknowledgement, or receipt, must accurately describe the GIK but no monetary amount should be mentioned. This, though, doesn't help for the internal recording of the gift. Our [Duke University's] policies do not permit acceptance of a gift in kind (GIK) without some form of value confirmation from a third party. In the case of computer equipment we suggest donors contact a local computer company or surplus store to obtain an approximation. This must accompany the gift when made (after acceptance by our Gift Policy Committee). For new computer equipment the chore is much simpler. They can provide us with a copy of their receipt for the computer or an advertisement for an identical unit. We, then, will use this documentation for internally crediting the donor and adding to our gift totals. But the donor will never see this amount on a receipt. Posting date unknown -- Ed.