FundSvcs Community

Hi all,

I was wondering what others might do in a situation where a donor in Canada has expenses for a Board meeting they attended. The expenses were paid in CAD, but since we are a U.S. institution, and the trustee wants to forgo reimbursement in favor of making a gift-in-kind (GIK) instead, how should we handle the currency conversion? Should the institution convert the expenses from CAD to USD, or should the donor provide the conversion themselves? The value needs to be recorded in USD regardless, but I'm unsure of the standard practice or what other organizations typically do in this scenario. Any insights?

Thanks,

Hi all,

I was wondering what others might do in a situation where a donor in Canada has expenses for a Board meeting they attended. The expenses were paid in CAD, but since we are a U.S. institution, and the trustee wants to forgo reimbursement in favor of making a gift-in-kind (GIK) instead, how should we handle the currency conversion? Should the institution convert the expenses from CAD to USD, or should the donor provide the conversion themselves? The value needs to be recorded in USD regardless, but I'm unsure of the standard practice or what other organizations typically do in this scenario. Any insights?

Thanks,

Hi all,

I was wondering what others might do in a situation where a donor in Canada has expenses for a Board meeting they attended. The expenses were paid in CAD, but since we are a U.S. institution, and the trustee wants to forgo reimbursement in favor of making a gift-in-kind (GIK) instead, how should we handle the currency conversion? Should the institution convert the expenses from CAD to USD, or should the donor provide the conversion themselves? The value needs to be recorded in USD regardless, but I'm unsure of the standard practice or what other organizations typically do in this scenario. Any insights?

Thanks,

I cover Canadian receipting issues in some of my webinars. Here's a snapshot from an earlier presentation - I have not checked for updates:

Valuation is based on your estimation on the date of gift and the exchange rate on that date. But that's for internal purposes only. Your receipt should mention the donor needs to follow Canadian rules and seek independent guidance.

John H. Taylor, Principal

John H. Taylor Consulting, LLC

2604 Sevier Street

Durham, NC     27705

johntaylorconsulting@gmail.com

919.816.5903 (cell/text)

Serving the Advancement Community Since 1987

Hi all,

I was wondering what others might do in a situation where a donor in Canada has expenses for a Board meeting they attended. The expenses were paid in CAD, but since we are a U.S. institution, and the trustee wants to forgo reimbursement in favor of making a gift-in-kind (GIK) instead, how should we handle the currency conversion? Should the institution convert the expenses from CAD to USD, or should the donor provide the conversion themselves? The value needs to be recorded in USD regardless, but I'm unsure of the standard practice or what other organizations typically do in this scenario. Any insights?

Thanks,