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The plain language of IRS pub 1771 is that you have to describe the goods and services. A round of golf for a foursome would leave out quite a bit that is material in your example, and I would advise a client to be more descriptive. On Thu, Aug 1, 2019, 11:07 AM Carper Stephanie <stephanie.carper@us.mcd.com> wrote: > I am wondering how descriptive we need to be on the receipt for our golf > outing for what the donor received in return for the gift. Would it satisfy > the IRS requirements to just say golf foursome? Or do we need to be more > specific about exactly what received (round of golf, breakfast, lunch, > dinner, entertainment and gifts for 4 individuals)? > > > > Thank you, > > > > Stephanie > > > > *Stephanie Carper* | Development Manager, Major and Planned Gifts > > > > Ronald McDonald House Charities, Inc. > > 110 N. Carpenter St, Chicago, IL 60607-2101 > > Cell: 312.520.8370 > > stephanie.carper@us.mcd.com | www.rmhc.org > > > > [image: cid:image001.jpg@01D24A50.04D56A20] > > >

IRS Publication 1771, on page 2, states that you must provide a descript and good faith estimate of the value of goods or services provided. When I asked the IRS in 1996 and again in 2004 what this meant they responded both times that it meant you needed to describe and value each benefit given. I have seen many organizations do this. I have seen others take "short cuts." I suggest you check with your attorney to determine what's right for you! John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Thu, Aug 1, 2019 at 11:07 AM Carper Stephanie < stephanie.carper@us.mcd.com> wrote: > I am wondering how descriptive we need to be on the receipt for our golf > outing for what the donor received in return for the gift. Would it satisfy > the IRS requirements to just say golf foursome? Or do we need to be more > specific about exactly what received (round of golf, breakfast, lunch, > dinner, entertainment and gifts for 4 individuals)? > > > > Thank you, > > > > Stephanie > > > > *Stephanie Carper* | Development Manager, Major and Planned Gifts > > > > Ronald McDonald House Charities, Inc. > > 110 N. Carpenter St, Chicago, IL 60607-2101 > > Cell: 312.520.8370 > > stephanie.carper@us.mcd.com | www.rmhc.org > > > > [image: cid:image001.jpg@01D24A50.04D56A20] > > >

We just did this. Our receipt shows purchase (foursome), price, and goods services received - which included greens fees, swag bag, lunch/cocktails/dinner etc. In our case price paid=g/s received. On Thu, Aug 1, 2019 at 11:34 AM John Taylor <johntaylorconsulting@gmail.com> wrote: > IRS Publication 1771, on page 2, states that you must provide a descript > and good faith estimate of the value of goods or services provided. When I > asked the IRS in 1996 and again in 2004 what this meant they responded both > times that it meant you needed to describe and value each benefit given. > > I have seen many organizations do this. I have seen others take "short > cuts." I suggest you check with your attorney to determine what's right > for you! > > John > > John H. Taylor > Principal, John H. Taylor Consulting > 2604 Sevier St. > <https://www.google.com/maps/search/2604+Sevier+St.+Durham,+NC%C2%A0%C2%A0+27705?entry=gmail&source=g> > Durham, NC 27705 > <https://www.google.com/maps/search/2604+Sevier+St.+Durham,+NC%C2%A0%C2%A0+27705?entry=gmail&source=g> > johntaylorconsulting@gmail.com > 919.816.5903 (cell/text) > > Serving the Advancement Community Since 1987 > > > On Thu, Aug 1, 2019 at 11:07 AM Carper Stephanie < > stephanie.carper@us.mcd.com> wrote: > >> I am wondering how descriptive we need to be on the receipt for our golf >> outing for what the donor received in return for the gift. Would it satisfy >> the IRS requirements to just say golf foursome? Or do we need to be more >> specific about exactly what received (round of golf, breakfast, lunch, >> dinner, entertainment and gifts for 4 individuals)? >> >> >> >> Thank you, >> >> >> >> Stephanie >> >> >> >> *Stephanie Carper* | Development Manager, Major and Planned Gifts >> >> >> >> Ronald McDonald House Charities, Inc. >> >> 110 N. Carpenter St, Chicago, IL 60607 >> <https://www.google.com/maps/search/110+N.+Carpenter+St,+Chicago,+IL%C2%A060607?entry=gmail&source=g> >> -2101 >> >> Cell: 312.520.8370 >> >> stephanie.carper@us.mcd.com | www.rmhc.org >> >> >> >> [image: cid:image001.jpg@01D24A50.04D56A20] >> >> >> > -- Siobhan Lidington Director of Annual and Individual Giving Albertus Magnus College 700 Prospect St New Haven, CT 06511 sllidington@albertus.edu w. (203)773-8519

I am wondering how descriptive we need to be on the receipt for our golf outing for what the donor received in return for the gift. Would it satisfy the IRS requirements to just say golf foursome? Or do we need to be more specific about exactly what received (round of golf, breakfast, lunch, dinner, entertainment and gifts for 4 individuals)? Thank you, Stephanie Stephanie Carper | Development Manager, Major and Planned Gifts Ronald McDonald House Charities, Inc. 110 N. Carpenter St, Chicago, IL 60607-2101 Cell: 312.520.8370 stephanie.carper@us.mcd.com<mailto:stephanie.carper@us.mcd.com> | www.rmhc.org<http://www.rmhc.org> [cid:image001.jpg@01D24A50.04D56A20]

Great timing! Same question re: an email solicitation for Athletics. The donor will get a "really nice tee shirt." I believe this counts as a a token benefit (read: insubstantial). Are we *required* to include an explanation that the value of the shirt is not substantial, or can we just say that the entire amount of the gift is tax deductible? Many thanks in advance for the expert advice!

This link has the answer http://www.njnonprofits.org/giftsubs.html Relevant quote: Low Cost Articles – Goods or services that have “insubstantial value” as defined by the IRS are considered fully deductible and need not be disclosed by the charitable organization. These items and amounts were first described in a 1990 IRS Revenue Procedure and are adjusted annually for inflation. For calendar year 2019, these “low cost articles” are those whose FMV is not more than two percent of the donor’s payment or $111.00, whichever is less; or when the payment is at least $55.50 and the only benefits received are token items such as mugs, calendars etc., bearing the organization’s name or logo. These token items are deemed to be “low cost articles” if their cost (as opposed to their fair market value) does not exceed $11.10, in the aggregate, for all items received by the donor during that year. On Thu, Aug 1, 2019, 4:02 PM Kate Bissinger <kbissinger@sjfc.edu> wrote: > Great timing! Same question re: an email solicitation for Athletics. The > donor will get a "really nice tee shirt." I believe this counts as a a > token benefit (read: insubstantial). Are we *required* to include an > explanation that the value of the shirt is not substantial, or can we just > say that the entire amount of the gift is tax deductible? Many thanks in > advance for the expert advice! >

It is only "insubstantial" if the donor contributes $55.50 or more, the t-shirt has a value of $11.10 or less, and the shirt has the organization name or logo. John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Thu, Aug 1, 2019 at 4:02 PM Kate Bissinger <kbissinger@sjfc.edu> wrote: > Great timing! Same question re: an email solicitation for Athletics. The > donor will get a "really nice tee shirt." I believe this counts as a a > token benefit (read: insubstantial). Are we *required* to include an > explanation that the value of the shirt is not substantial, or can we just > say that the entire amount of the gift is tax deductible? Many thanks in > advance for the expert advice! >

UGH! Thanks all for the information. The donation amount will exceed the $55.50 threshold, but I will have to find out the cost of the shirt. Hopefully it's not TOO nice... I appreciate the responses!

Also, if you’re not the one running the appeal, it’s a good idea to let the department know that next year, those amounts may change and to check with you FIRST before deciding on benefits. -Eric Eric F. Valdescaro Associate Vice President, Advancement Services Office | 808-376-7830 University of Hawai‘i Foundation<http://www.uhfoundation.org> 1314 South King Street, Suite B Honolulu, HI 96814 <https://goo.gl/maps/n8uM1mFV5WS2> Facebook<http://www.facebook.com/UniversityHawaiiFoundation> • Twitter<http://twitter.com/UHawaiiFdn> • LinkedIn<https://www.linkedin.com/company/university-of-hawaii-foundation> <http://www.uhfoundation.org>[University of Hawaii Foundation]<http://www.uhfoundation.org/><http://www.uhfoundation.org> FOR OUR UNIVERSITY, OUR HAWAI‘I, OUR FUTURE From: Advancement Services Discussion List [mailto:FUNDSVCS@LISTSERV.FUNDSVCS.ORG] On Behalf Of John Taylor Sent: Thursday, August 1, 2019 10:17 AM To: FUNDSVCS@LISTSERV.FUNDSVCS.ORG Subject: Re: [FUNDSVCS] Description of goods and services received in return for a donation It is only "insubstantial" if the donor contributes $55.50 or more, the t-shirt has a value of $11.10 or less, and the shirt has the organization name or logo. John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com<mailto:johntaylorconsulting@gmail.com> 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Thu, Aug 1, 2019 at 4:02 PM Kate Bissinger <kbissinger@sjfc.edu<mailto:kbissinger@sjfc.edu>> wrote: Great timing! Same question re: an email solicitation for Athletics. The donor will get a "really nice tee shirt." I believe this counts as a a token benefit (read: insubstantial). Are we *required* to include an explanation that the value of the shirt is not substantial, or can we just say that the entire amount of the gift is tax deductible? Many thanks in advance for the expert advice! This message (including any attachments) is covered by the Electronic Communications Privacy Act, 18 U.S.C. 2510-2521. It is the property of the University of Hawaii Foundation. It may contain confidential information intended for a specific individual and purpose. If you are not the intended recipient, you must delete this message. You are hereby notified that any disclosure, copying, or distribution of this message is prohibited.