The Internal Revenue Service recently released a revised version of Publication 1771, Charitable Contributions: Substantiation and Disclosure Requirements. The Publication explains the federal tax law charities and churches that receive tax-deductible charitable contributions and for taxpayers who make contributions.
There are recordkeeping and substantiation rules imposed on donors of charitable contributions and disclosure rules imposed on charities that receive certain quid pro quo contributions:
- a donor must have a bank record or written communication from a charity for any monetary contribution before the donor can claim a charitable contribution on his/her federal income tax return
- a donor is responsible for obtaining a written acknowledgment from a charity for any single contribution of $250 or more before the donor can claim a charitable contribution on his/her federal income tax return
- a charitable organization is required to provide a written disclosure to a donor who receives goods or services in exchange for a single payment in excess of $75
The IRS also released a revised version of Publication 3079, Tax-Exempt Organizations and Gaming.
[A]n organization conducting any type of gaming should understand how the activity can impact its federal tax-exempt status, as well as its tax and information reporting responsibilities. In the following chapters, this publication will provide an exempt organization – whether it is running games already or deciding whether to start – the information it needs to operate in a manner that will not jeopardize its exempt status or generate unexpected tax bills.