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  • 1.  Student Organization dissolved

    Posted 05-08-2025 08:16 AM

    We have a student organization on campus that is dissolving. The University requires all student orgs to have a separate bank account if they collect money. Since this org is dissolving and they still have some cash in their bank account, they would like to give it to the department at the university they were connected to. I don't think this gift needs to be run through our office since we have no way of knowing why this money was originally given to the organization.  We are not sure if this money was membership dues, where they might have received something for the money, or if it is from a fundraiser they had. 

    The question I have is, could this money be considered a gift that would need a tax receipt?



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    Cynthia Hornbeck
    Texas Woman's University
    CHornbeck1@twu.edu
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  • 2.  RE: Student Organization dissolved

    Posted 05-08-2025 09:00 AM
    It would only be recognized as a gift (from a counting and CASE perspective) if the organization were external to the University and had a separate Tax ID. Odds are that's not the case, and they probably enjoyed "agency" status and support from the University.

    John

    John H. Taylor, Principal
    John H. Taylor Consulting, LLC
    2604 Sevier Street
    Durham, NC     27705

    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987




    Original Message


  • 3.  RE: Student Organization dissolved

    Posted 05-08-2025 09:07 AM
    I meant to add:

    I have encountered similar groups that had zero support or recognition from the University (often, those were the ones that shuttered their doors!). They operated independently, paid rent for using University spaces, etc. While they never bothered to obtain a separate tax ID, they operated as if they had one.

    When those organizations (often "alumni clubs" around the country) closed down and sent money to the University (or alumni association), those were recognized as gifts, although no tax receipts were issued. In some cases, a record was created in the name of the now-defunct club, and the gift was entered there. However, my preference is to enter the amount on a "Various Donors" record, recognizing that individuals were responsible for creating the funds while suppressing a receipt to any entity.

    John

    John H. Taylor, Principal
    John H. Taylor Consulting, LLC
    2604 Sevier Street
    Durham, NC     27705

    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987





    Original Message


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