These are straight forward quid pro quo scenarios. The deductible amount is reduced but the value of the benefits received. In the second case the value probably exceeds to amount given!
But since these gifts do not earn preferences for seating the gift is not 100% nullified.
John
John Taylor
919.816.5903
johntaylorconsulting@gmail.com
Big ideas; small keyboard
> On Mar 12, 2019, at 7:51 PM, Heidi Jewell <
HJewell@collegeofidaho.edu> wrote:
>
> I know that the tax reform made donation to the boosters to buy early athletic seats nondeductible, but does it cover a reduced ticket to a dinner auction for an athletic team? Or tickets given because of a gift?
>
> Here is the first scenario, sports team A offers a 25% discount on a dinner ticket to a “booster” who donates $200 or more. The ticket they are able to purchase costs $60 so we are talking about a $15 discount. No one else is able to get a discount unless you donate. Does the discount on the possible ticket purchase negate the $200 gift to the team and make it nondeductible?
>
> Second question, if you donate $500 to team B, you get a family pass to come to all the games for that season. Anyone can buy tickets at anytime – you aren’t getting a preference to buy early, you just receive the “pass” if you donate at a certain level. This is just a QPQ, correct? Or do the tickets negate the $500 donation to team B?
>
> Hopefully that made sense. Thank you in advance for your wisdom!
>
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