Dana B
|
The appraisal rule only applies if: taxpayer may claim a deduction of more than $500 for any single item, regardless of its condition, if the taxpayer includes a qualified appraisal of the item with the return. What they are saying is, everything has to be in "good" condition. If it is not "good" condition, then you can only donate one item over $500 if it includes and appraisal. As long as everything you donate is in "good" condition, you don't need an appraisal, no matter how much you donate. But if they audit you, you must prove(with detailed receipt and possibly photo) that they item was in "good" condition. |
|
Dave
 |
Dana B has a good answer. The appraisal thing is for big ticket items such as cars, boats, etc... In your case, just make sure you are donating usefull stuff. not clothes that should be thrown away. Pictures are good. I would have them dated and signed by the goodwill worker if you are really worried about it.
If you give cash, you must have a receipt for every thing you give starting in 2007. Even if you drop 20 in the collection plate at church, you must have proof to deduct on 2007 tax return.
The government is trying to crack down on charitable contributions being taken advantage of. Remember, The government did not even audit 1% of all individual tax returns filed last year. As long as you are not intentionally defrauding the U.S. Gov. I would not worry and just try to keep the law the best you can. |
|
skip
 |
Take photos and tie it to a written schedule. I have a client who does that. He's never had a problem. |
|
workit
|
your accountant or who ever does your taxes should be able to help you |
|
dukalink6000
 |
In my area, I have found that Hospice Shops are willing to give an appraisal, or at least break down the donation value better, so rather than having a receipt that says "various household items $200", it goes "10 Men's shirts @$3 each".
Also, if you bring it to their attention, the Goodwill might step it up, as they do not want donations to start dropping because of the new tax laws |
|
larrydoyle52
 |
this is probably not the answer you are looking for but.... I could not find the info so i left the estimate at $500 and had them take EVERYTHING.... the estimate for the goods over $500 just seemed so greedy and trivial to worry about and embarrassed me in comparision to the potential needs of a possibly impoverished person who has genuine need for the very basic goods for life. even if my donation ends up in an upper middle class home I feel much better by just giving and letting it go. |
|
SandyM
|
I too, live in a rural area and don't have access to a local hospice store. I use either our good will store or the local second hand store. They have the ability to write out any type of receipt you may need for your taxes. |
|
Grandma B
|
Turbo Tax It's Deductible will give you the answers. I use this software. The section will tell you what each item is worth. man's suit, ladies suit, ladies dress, jeans, etc...
ALSO, if your adjusted gross income is less than $50K a year, you can go use TURBO TAX free by going oneline www.irs.gov.
Click n "File free", yes you'll have to put in your credit card information but it will not deduct anything if your adjusted gross income is less than $50K for the year. I used it last year and it was totally free including the electronic transfer. |
|
mg3
 |
Iā€™m not sure where you got your information, but it's not $500.00 it's $5,000.00 worth of an individual (non cash) item that you would need to get an appraisal. If you happen to have donated something that would require an appraisal, then you would need to find an appraiser for that particular item. Such as an appraiser for jewelry, car, land or antiques.
Now the IRS can deny deductions for items that are deemed of "minimal monetary valueā€¯. When your total amount of donated articles (or as the IRS calls them, non cash gifts) exceeds $500, you have to file with your tax return Form 8283, Non cash Charitable Contributions, detailing your generosity. Taxpayers still can inflate the used property's value on the form, but with the new guidelines and charitable groups' reminders of it, lawmakers are hoping that individuals will follow the new rules. From the enforcement side, don't be surprised to find tax examiners taking closer looks at this form and asking more follow-up questions than usual.
Now, if you have given cash in an amount of or exceeding $250.00, then you need to get a letter from the organization proving how much you donated. This letter will go to your accountant at tax time. The new law is for the $250.00 cash donation. If you send a check, you must have a letter from that organization. The cancelled check is not enough proof.
I think you will be fine with the $750.00 in receipts. I also think it would be in your best interest for you to speak with a qualified tax preparer for any of your tax needs.
Good Luck! |
|
roulstonelectric
 |
Ask Salvation Army for appraisal! They are happy to help! |
|
Ms. Q
|
Try the VFW they usually give you a write off for it. |
|
melodie s
|
You can go to your local Salvation Army. They will give you a receipt for the value of your donations. You can use the receipt for tax perposes. |
|
southernyankeecbc7
|
there is a limit to what u can rite off as a donation according to
your income leveland the person/s at goodwill or what ever charity should have a person with the value answer...and you need to get a receipt to file with your tax return.
.. |
|
arkiemom
|
Log on to TurboTax.com. They have a product called "It's Deductible" that is approved by the IRS to evaluate caritable contributions. You can buy the disc or pay to download it. It is inexpensive to purchase ( around $19.95) and will give you a printout for each item that lists its value. I have used it for the last 5 years and have saved hundreds of dollars on my taxes. I was definitely undervaluing clothing and items donated to charities. Plus - you have the added assurance that what you are deducting meets IRS guidelines. |
|
Wayne Z
|
My guess is that there will be a lot of $499 deductions......... |
|
tiger
|
One could sell the items personally and then donate the amount earned to your favorite charity. |
|
wncan47
|
if your a church member your tithes and offerings are 100% deductible.you can take the gas milage roundtrip from goodwill too.any church related donations are deductable as long as you dont receive anything from your gilft.tithes are 10% of what you earned for the years and offerings are money that is above and beyond your pay.to put it in a nutshell say you make 45k a year so your tithes are 4500.00 and the offerings are whatever you want to donate. |
|
kveryeffective
 |
Just find someone in your area that runs an auction as them come out ask what could they get for it. |
|
Go_Know_Thyself
|
Probably not without paying for it...
Do you really want to pay to make a donation? Even for a tax write off that when you present it to your tax guy he will more than likely tell you that "It's not enough to bother." ?? |
|
Rusty Nails
|
goodwill has a rate sheet check their site or do a search for it..If that helps |
|
groverraj
|
For the person who said that it is $5000 and not $500... Your accountant husband needs a refresher course on IRS rules.
http://www.irs.gov/newsroom/article/0,,id=164997,00.html |
|
Talking Hat
|
uh yeah ebay |
|
pcreamer2000
|
Dont bother,
If its under $500 it doesnt matter if the real value is $1 or $499.
In both cases $500 deduction is what one does.
If its under $500 there is no obligation or requirement that it be in fact accurate...
So says my tax person who is also a former IRS agent.
IRS doesnt care about it if its under $500. |
|
| |
|
Homepage 
Financial
Forum 
Taxes 
No Spam
Adult 
Gambling
Unfinished
Deception
Plagiarism
Not English
