FundSvcs Community

Hi all.  This is a well worn subject, but I'm going to be challenged on my advice so wanted to double check with the braintrust.

For a live auction item, the event planners are securing gift cards, or merchandise credit from various shops including spa services, clothing boutiques and restaurants.  The gifts would be from the shops directly, not purchased by a donor. 

Is there any portion of a gift card donation that could be considered tax deductible when given by the purveyor of the items or services?  I've been given a list of 6 shops who are giving between $200 and $400 for a shopping/pampering excursion.  I'm hard pressed to see any tax deductible amount unless a store could produce evidence of the amount they expended to purchase items that were ultimately purchased with the store credits/gift cards, which would certainly be difficult to document.

I'd appreciate the community's input on this.

Thank you in advance!

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Dale Hailey
Manager, Gift Services
Sutter Health Philanthropy
haileyds@sutterhealth.org
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Original Message:
Sent: 9/14/2022 5:19:00 PM
From: Dale Hailey
Subject: Donation of Gift Cards

Hi all.  This is a well worn subject, but I'm going to be challenged on my advice so wanted to double check with the braintrust.

For a live auction item, the event planners are securing gift cards, or merchandise credit from various shops including spa services, clothing boutiques and restaurants.  The gifts would be from the shops directly, not purchased by a donor. 

Is there any portion of a gift card donation that could be considered tax deductible when given by the purveyor of the items or services?  I've been given a list of 6 shops who are giving between $200 and $400 for a shopping/pampering excursion.  I'm hard pressed to see any tax deductible amount unless a store could produce evidence of the amount they expended to purchase items that were ultimately purchased with the store credits/gift cards, which would certainly be difficult to document.

I'd appreciate the community's input on this.

Thank you in advance!

------------------------------
Dale Hailey
Manager, Gift Services
Sutter Health Philanthropy
haileyds@sutterhealth.org
------------------------------

Thanks John.  I was thinking that none of it could be gift-in-kind.  This is super helpful.  

Best, Dale

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Dale Hailey
Manager, Gift Services
Sutter Health Philanthropy
haileyds@sutterhealth.org
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Original Message:
Sent: 09-14-2022 04:36 PM
From: John Taylor
Subject: Donation of Gift Cards

There's no gift if the card represents a service or partial interest.  However, if the card can be used for tangible merchandise then its value can be treated as a gift-in-kind.

John

John H. Taylor

Principal

John H. Taylor Consulting, LLC

2604 Sevier St.

Durham, NC   27705

johntaylorconsulting@gmail.com

919.816.5903 (cell/text)

Serving the Advancement Community Since 1987

Original Message:
Sent: 9/14/2022 5:19:00 PM
From: Dale Hailey
Subject: Donation of Gift Cards

Hi all.  This is a well worn subject, but I'm going to be challenged on my advice so wanted to double check with the braintrust.

For a live auction item, the event planners are securing gift cards, or merchandise credit from various shops including spa services, clothing boutiques and restaurants.  The gifts would be from the shops directly, not purchased by a donor. 

Is there any portion of a gift card donation that could be considered tax deductible when given by the purveyor of the items or services?  I've been given a list of 6 shops who are giving between $200 and $400 for a shopping/pampering excursion.  I'm hard pressed to see any tax deductible amount unless a store could produce evidence of the amount they expended to purchase items that were ultimately purchased with the store credits/gift cards, which would certainly be difficult to document.

I'd appreciate the community's input on this.

Thank you in advance!

------------------------------
Dale Hailey
Manager, Gift Services
Sutter Health Philanthropy
haileyds@sutterhealth.org
------------------------------