Records To Keep
You must keep records to prove the amount of the cash and noncash
contributions you make during the year. The kind of records you must
keep depends on the amount of your contributions and whether they are
cash or noncash contributions.
Note.
An organization generally must give you a written statement if it
receives a payment from you that is more than $75 and is partly a
contribution and partly for goods or services. (See Contributions
From Which You Benefit under Contributions You Can Deduct,
earlier.) Keep the statement for your records. It may satisfy
all or part of the recordkeeping requirements explained in the
following discussions.
Cash Contributions
Cash contributions include those paid by cash, check, credit card,
or payroll deduction. They also include your out-of-pocket expenses
when donating your services.
For a contribution made in cash, the records you must keep depend
on whether the contribution is:
- Less than $250, or
- $250 or more.
Amount of contribution.
In figuring whether your contribution is $250 or more, do not
combine separate contributions. For example, if you gave your church
$25 each week, your weekly payments do not have to be combined. Each
payment is a separate contribution.
If contributions are made by payroll deduction, the deduction from
each paycheck is treated as a separate contribution.
If you made a payment that is partly for goods and services, as
described earlier under Contributions From Which You
Benefit, your contribution is the amount of the payment that is
more than the value of the goods and services.
Contributions of Less Than $250
For each cash contribution that is less than $250, you must keep
one of the following.
- A canceled check, or a legible and readable
account statement that shows:
- If payment was by check - the check number, amount,
date posted, and to whom paid,
- If payment was by electronic funds transfer - the
amount, date posted, and to whom paid, or
- If payment was charged to a credit card - the amount,
transaction date, and to whom paid.
- A receipt (or a letter or other written communication) from
the charitable organization showing the name of the organization, the
date of the contribution, and the amount of the contribution.
- Other reliable written records that include the information
described in (2). Records may be considered reliable if they were made
at or near the time of the contribution, were regularly kept by you,
or if, in the case of small donations, you have buttons, emblems, or
other tokens, that are regularly given to persons making small cash
contributions.
Car expenses.
If you claim expenses directly related to use of your car in giving
services to a qualified organization, you must keep reliable written
records of your expenses. Whether your records are considered reliable
depends on all the facts and circumstances. Generally, they may be
considered reliable if you made them regularly and at or near the time
you had the expenses.
Your records must show the name of the organization you were
serving and the date each time you used your car for a charitable
purpose. If you use the standard mileage rate, your records must show
the miles you drove your car for the charitable purpose. If you deduct
your actual expenses, your records must show the costs of operating
the car that are directly related to a charitable purpose.
See Car expenses under Out-of-Pocket Expenses in
Giving Services, earlier, for the expenses you can deduct.
Contributions of $250 or More
You can claim a deduction for a contribution of $250 or more only
if you have an acknowledgement of your contribution from the qualified
organization or certain payroll deduction records.
If you made more than one contribution of $250 or more, you must
have either a separate acknowledgement for each or one acknowledgement
that shows your total contributions.
Acknowledgement.
The acknowledgement must meet these tests.
- It must be written.
- It must include:
- The amount of cash you contributed,
- Whether the qualified organization gave you any goods or
services as a result of your contribution (other than certain token
items and membership benefits), and
- A description and good faith estimate of the value of any
goods or services described in (b). If the only benefit you received
was an intangible religious benefit (such as admission to a religious
ceremony) that generally is not sold in a commercial transaction
outside the donative context, the acknowledgement must say so and does
not need to describe or estimate the value of the benefit.
- You must get it on or before the earlier of:
- The date you file your return for the year you make the
contribution, or
- The due date, including extensions, for filing the
return.
Payroll deductions.
If you make a contribution by payroll deduction, you do not need an
acknowledgement from the qualified organization. But if your employer
deducted $250 or more from a single paycheck, you must keep:
- A pay stub, Form W-2, or other document furnished by
your employer that proves the amount withheld, and
- A pledge card or other document from the qualified
organization that states the organization does not provide goods or
services in return for any contribution made to it by payroll
deduction.
Out-of-pocket expenses.
If you render services to a qualified organization and have
unreimbursed out-of-pocket expenses related to those services, you can
satisfy the written acknowledgement requirement just discussed if:
- You have adequate records to prove the amount of the
expenses, and
- By the required date, you get an acknowledgement from the
qualified organization that contains:
- A description of the services you provided,
- A statement of whether or not the organization provided you
any goods or services to reimburse you for the expenses you
incurred,
- A description and a good faith estimate of the value of any
goods or services (other than intangible religious benefits) provided
to reimburse you, and
- A statement of any intangible religious benefits provided to
you.
Noncash Contributions
For a contribution not made
in cash, the records you must keep depend on whether your deduction
for the contribution is:
- Less than $250,
- At least $250 but not more than $500,
- Over $500 but not more than $5,000, or
- Over $5,000.
Amount of contribution.
In figuring whether your contribution is $250 or more, do not
combine separate contributions. If you got goods or services in
return, as described earlier in Contributions From Which You
Benefit, reduce your contribution by the value of those goods or
services. If you figure your deduction by reducing the fair market
value of the donated property by its appreciation, as described
earlier in Giving Property That Has Increased in Value,
your contribution is the reduced amount.
Deductions of Less Than $250
If you make any noncash contribution, you must get and keep a
receipt from the charitable organization showing:
- The name of the charitable organization,
- The date and location of the charitable contribution,
and
- A reasonably detailed description of the property.
A letter or other written communication from the charitable
organization acknowledging receipt of the contribution and containing
the information in (1), (2), and (3) will serve as a receipt.
You are not required to have a receipt where it is impractical to
get one (for example, if you leave property at a charity's unattended
drop site).
Additional records.
You must also keep reliable written records for each item of
donated property. Your written records must include the following
information.
- The name and address of the organization to which you
contributed.
- The date and location of the contribution.
- A description of the property in detail reasonable under the
circumstances. For a security, keep the name of the issuer, the type
of security, and whether it is regularly traded on a stock exchange or
in an over-the-counter market.
- The fair market value of the property at the time of the
contribution and how you figured the fair market value. If it was
determined by appraisal, you should also keep a signed copy of the
appraisal.
- The cost or other basis of the property if you must reduce
its fair market value by appreciation. Your records should also
include the amount of the reduction and how you figured it. If you
choose the 50% limit instead of the special 30% limit on certain
capital gain property (discussed under Capital gain property
election, earlier), you must keep a record showing the years for
which you made the choice, contributions for the current year to which
the choice applies, and carryovers from preceding years to which the
choice applies.
- The amount you claim as a deduction for the tax year as a
result of the contribution, if you contribute less than your entire
interest in the property during the tax year. Your records must
include the amount you claimed as a deduction in any earlier years for
contributions of other interests in this property. They must also
include the name and address of each organization to which you
contributed the other interests, the place where any such tangible
property is located or kept, and the name of any person in possession
of the property, other than the organization to which you
contributed.
- The terms of any conditions attached to the gift of
property.
Deductions of At Least $250 But Not More Than $500
If you claim a deduction of at least $250 but not more than $500
for a noncash charitable contribution, you must get and keep an
acknowledgement of your contribution from the qualified organization.
If you made more than one contribution of $250 or more, you must have
either a separate acknowledgement for each or one acknowledgement that
shows your total contributions.
The acknowledgement must contain the information in items (1)
through (3) listed under Deductions of Less Than $250,
earlier, and your written records must include the information
listed in that discussion under Additional records.
The acknowledgement must also meet these tests.
- It must be written.
- It must include:
- A description (but not necessarily the value) of any
property you contributed,
- Whether the qualified organization gave you any goods or
services as a result of your contribution (other than certain token
items and membership benefits), and
- A description and good faith estimate of the value of any
goods or services described in (b). If the only benefit you received
was an intangible religious benefit (such as admission to a religious
ceremony) that generally is not sold in a commercial transaction
outside the donative context, the acknowledgement must say so and does
not need to describe or estimate the value of the benefit.
- You must get the acknowledgement on or before the earlier
of:
- The date you file your return for the year you make the
contribution, or
- The due date, including extensions, for filing the
return.
Deductions Over $500 But Not Over $5,000
If you claim a deduction over $500 but not over $5,000 for a
noncash charitable contribution, you must have the acknowledgement and
written records described under Deductions of At Least $250 But
Not More Than $500. Your records must also include:
- How you got the property, for example, by purchase, gift,
bequest, inheritance, or exchange.
- The approximate date you got the property or, if created,
produced, or manufactured by or for you, the approximate date the
property was substantially completed.
- The cost or other basis, and any adjustments to the basis,
of property held less than 12 months and, if available, the cost or
other basis of property held 12 months or more. This requirement,
however, does not apply to publicly traded securities.
If you are not able to provide information on either the date
you got the property or the cost basis of the property and you have a
reasonable cause for not being able to provide this information,
attach a statement of explanation to your return.
Deductions Over $5,000
If you claim a deduction of over $5,000 for a charitable
contribution of one property item or a group of similar property
items, you must have the acknowledgement and the written records
described under Deductions Over $500 But Not Over $5,000.
In figuring whether your deduction is over $5,000, combine your
claimed deductions for all similar items donated to any charitable
organization during the year.
Generally, you must also obtain a qualified written appraisal of
the donated property from a qualified appraiser. See Deductions
of More Than $5,000 in Publication 561 for more information.
Qualified conservation contribution.
If the gift was a qualified conservation contribution, your
records must also include the fair market value of the underlying
property before and after the gift and the conservation purpose
furthered by the gift. See Qualified conservation contribution
in Publication 561 for more information.
How To Report
Report your charitable contributions on Schedule A of Form 1040.
If you made noncash contributions, you may also be required to fill
out parts of Form 8283. See Noncash contributions, later.
Reporting expenses for student living with you.
If you claim amounts paid for a student who lives with you, as
described earlier under Expenses Paid for Student Living With
You, you must submit with your return:
- A copy of your agreement with the organization sponsoring
the student placed in your household,
- A summary of the various items you paid to maintain the
student, and
- A statement that gives:
- The date the student became a member of your
household,
- The dates of his or her full-time attendance at school,
and
- The name and location of the school.
Noncash contributions.
If your total deduction for all noncash contributions
for the year is over $500, you must complete Section A of
Form 8283,
and attach it to your Form 1040.
However, do not complete Section A for items you must report on
Section B. See Deduction over $5,000 for one item, next,
for the items you must report on Section B.
The Internal Revenue Service can disallow your deduction for
noncash charitable contributions if it is more than $500 and you do
not submit a required Form 8283 with your return.
Deduction over $5,000 for one item.
You must complete Section B of Form 8283 for each item or group of
items for which you claim a deduction of over $5,000. (However, if you
contributed certain publicly traded securities, complete Section A
instead.) In figuring whether your deduction is over $5,000, combine
the claimed deductions for all similar items donated to any charitable
organization during the year. The organization that received the
property must complete and sign Part IV of Section B.
Form 8282.
If an organization, within 2 years after the date of receipt of a
contribution of property for which it was required to sign a Form
8283, sells, exchanges, or otherwise disposes of the property, the
organization must file an information return with the Internal Revenue
Service on
Form 8282, Donee Information
Return, and send you a copy of the form. However, if you have
informed the organization that the appraised value of the donated
item, or a specific item within a group of similar items, is $500 or
less, the organization is not required to make a report on its sale of
that item. For this purpose, all shares of nonpublicly traded stock or
securities, or items that form a set, are considered to be one item.
How To Get Tax Help
You can get help with unresolved tax issues, order free
publications and forms, ask tax questions, and get more information
from the IRS in several ways. By selecting the method that is best for
you, you will have quick and easy access to tax help.
Contacting your Taxpayer Advocate.
If you have attempted to deal with an IRS problem unsuccessfully,
you should contact your Taxpayer Advocate.
The Taxpayer Advocate represents your interests and concerns within
the IRS by protecting your rights and resolving problems that have not
been fixed through normal channels. While Taxpayer Advocates cannot
change the tax law or make a technical tax decision, they can clear up
problems that resulted from previous contacts and ensure that your
case is given a complete and impartial review.
To contact your Taxpayer Advocate:
- Call the Taxpayer Advocate at
1-877-777-4778.
- Call the IRS at
1-800-829-1040.
- Call, write, or fax the Taxpayer Advocate office in your
area.
- Call 1-800-829-4059 if you are
a TTY/TDD user.
For more information, see Publication 1546, The Taxpayer
Advocate Service of the IRS.
Free tax services.
To find out what services are available, get Publication 910,
Guide to Free Tax Services. It contains a list of free tax
publications and an index of tax topics. It also describes other free
tax information services, including tax education and assistance
programs and a list of TeleTax topics.
Personal computer. With your personal computer and
modem, you can access the IRS on the Internet at
www.irs.gov. While visiting our web site, you can select:
- Frequently Asked Tax Questions (located under
Taxpayer Help & Ed) to find answers to questions you
may have.
- Forms & Pubs to download forms and
publications or search for forms and publications by topic or
keyword.
- Fill-in Forms (located under Forms &
Pubs) to enter information while the form is displayed and then
print the completed form.
- Tax Info For You to view Internal Revenue
Bulletins published in the last few years.
- Tax Regs in English to search regulations and the
Internal Revenue Code (under United States Code
(USC)).
- Digital Dispatch and IRS Local News Net
(both located under Tax Info For Business) to receive
our electronic newsletters on hot tax issues and news.
- Small Business Corner (located under Tax
Info For Business) to get information on starting and operating
a small business.
You can also reach us with your computer using File Transfer
Protocol at ftp.irs.gov.
TaxFax Service. Using the phone attached to your fax
machine, you can receive forms and instructions by calling
703-368-9694. Follow the directions from the
prompts. When you order forms, enter the catalog number for the form
you need. The items you request will be faxed to you.
Phone. Many services are available by phone.
- Ordering forms, instructions, and publications.
Call 1-800-829-3676 to order
current and prior year forms, instructions, and publications.
- Asking tax questions. Call the IRS with your tax
questions at 1-800-829-1040.
- TTY/TDD equipment. If you have access to TTY/TDD
equipment, call 1-800-829- 4059 to ask
tax questions or to order forms and publications.
- TeleTax topics. Call
1-800-829-4477 to listen to pre-recorded
messages covering various tax topics.
Evaluating the quality of our telephone services. To
ensure that IRS representatives give accurate, courteous, and
professional answers, we evaluate the quality of our telephone
services in several ways.
- A second IRS representative sometimes monitors live
telephone calls. That person only evaluates the IRS assistor and does
not keep a record of any taxpayer's name or tax identification
number.
- We sometimes record telephone calls to evaluate IRS
assistors objectively. We hold these recordings no longer than one
week and use them only to measure the quality of assistance.
- We value our customers' opinions. Throughout this year, we
will be surveying our customers for their opinions on our
service.
Walk-in. You can walk in to many post offices,
libraries, and IRS offices to pick up certain forms, instructions, and
publications. Also, some libraries and IRS offices have:
- An extensive collection of products available to print from
a CD-ROM or photocopy from reproducible proofs.
- The Internal Revenue Code, regulations, Internal Revenue
Bulletins, and Cumulative Bulletins available for research
purposes.
Mail. You can send your order for forms, instructions,
and publications to the Distribution Center nearest to you and receive
a response within 10 workdays after your request is received. Find the
address that applies to your part of the country.
- Western part of U.S.:
Western Area Distribution Center
Rancho Cordova, CA 95743-0001
- Central part of U.S.:
Central Area Distribution Center
P.O. Box 8903
Bloomington, IL 61702-8903
- Eastern part of U.S. and foreign addresses:
Eastern Area Distribution Center
P.O. Box 85074
Richmond, VA 23261-5074
CD-ROM. You can order IRS Publication 1796, Federal
Tax Products on CD-ROM, and obtain:
- Current tax forms, instructions, and publications.
- Prior-year tax forms, instructions, and publications.
- Popular tax forms which may be filled in electronically,
printed out for submission, and saved for recordkeeping.
- Internal Revenue Bulletins.
The CD-ROM can be purchased from National Technical Information
Service (NTIS) by calling 1-877-233-6767
or on the Internet at www.irs.gov/cdorders. The first
release is available in mid-December and the final release is
available in late January.
IRS Publication 3207, The Small Business Resource Guide,
is an interactive CD-ROM that contains information important to
small businesses. It is available in mid-February. You can get one
free copy by calling 1-800-829-3676.
Table 4
- Blank worksheet for deduction computation
List of Tax
Publications and Forms for Business Taxpayers
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