The Nonprofit FAQ: Strategies: In-Kind
Select an FAQ (15):
| Are there organizations that help with donated equipment? Yes. A lot of information is available on this topic online. |
| Can a business receive a tax-deduction for an in-kind gift? Yes, but in many cases, such gifts are treated as business expenses, which is often simpler and just as effective for the donor. |
| Can donated equipment be deductible for the donor? Donations are deductible if made to a recognized 501(c)(3) organization, or one that meets the qualifications of such. |
| Can I Get a Tax Deduction if I Charge a Nonprofit Below-Market Prices? In general 'no.' Deductions only reduce tax liability on income that has actually been received. |
| Can we seek inkind donations online? Some suggestions of straightforward techniques. |
| Can we sell donated equipment and use the proceeds? The feelings of the donor as well as federal regulations must be considered when determining the use of a donation. |
| How can I get software donated? Some companies make donations to specific kinds of nonprofits and there are some organizations that distribute donations broadly among nonprofits; some of both are listed here. |
| How long must you keep an in-kind gift? There is no time limit, but if a large gift is disposed of within two years, there is a form that must be filed with the IRS. |
| How should we acknowledge in-kind gifts? Enthusiastically, of course. But there are some errors that must be avoided in this specialized area. Auctions require further attention. |
| How to value donated goods. A gift acknowledgement, or receipt, must accurately describe the gift in kind but no monetary amount should be mentioned. |
| Is it possible to get computer equipment donated? A posting from the early years of the FAQ which may offer some useful suggestions. |
| Is it Possible to Receive a Deduction for a Gift of Services? In general, the answer is 'no.' A deduction cannot be taken when no income has been earned. |
| Strategies to Encourage and Find Donations of Equipment Ideas for getting office equipment beside going to the store. |
| What about car donation programs? Car donation programs can be effective for both donors and charities. New rules place new limits on such programs from January 1, 2005. |
| Where can I find pro bono legal advice? The American Bar Association maintains a state-by-state list of organizations that facilitate finding pro bono assistance. This item also includes advice on other strategies for finding low-cost assistanct that may be useful. |