how to report non-profit memberships

[ps56k]

how & where do we report our memberships with non-profit organizations ?
ie - local botanical gardens, art institute, museums, PBS, etc -

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No Good Deed -
Goes Unpunished

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[removep...@yahoo.com]

On Jan 27, 10:29 am, "ps56k" <pschuman_no5pam...@interserv.com> wrote:

> how & where do we report our memberships with non-profit organizations ?
> ie - local botanical gardens, art institute, museums, PBS, etc -

Schedule A, but you must subtract the FMV of the stuff you received
from them, like T shirts, discounts, magazine subscriptions, DVD's,
etc. Ask them for FMV.

[Arthur Kamlet]

In article <036c0fb4-db61-47f3...@p13g2000yqd.googlegroups.com>,

removep...@yahoo.com <removep...@yahoo.com> wrote:
>On Jan 27, 10:29 am, "ps56k" <pschuman_no5pam...@interserv.com> wrote:
>
>> how & where do we report our memberships with non-profit organizations ?
>> ie - local botanical gardens, art institute, museums, PBS, etc -
>
>Schedule A, but you must subtract the FMV of the stuff you received
>from them, like T shirts, discounts, magazine subscriptions, DVD's,
>etc. Ask them for FMV.

And if memberhsip includes free admission, which you otherwise
would have had to pay when you attended, subtract that too.
--

ArtKamlet at a o l dot c o m Columbus OH K2PZH

[JoeTaxpayer]

On 1/27/12 1:52 PM, removep...@yahoo.com wrote:
> On Jan 27, 10:29 am, "ps56k"<pschuman_no5pam...@interserv.com> wrote:
>

>> how& where do we report our memberships with non-profit organizations ?

>> ie - local botanical gardens, art institute, museums, PBS, etc -
>
> Schedule A, but you must subtract the FMV of the stuff you received
> from them, like T shirts, discounts, magazine subscriptions, DVD's,
> etc. Ask them for FMV.

Agreed. The institution should acknowledge the donation and tell you
FMV. If it's for a museum or aquarium, it may very well be 'no FMV' but
either way, they should have spelled it out in the receipt/acknowledgement.

[JoeTaxpayer]

On 1/27/12 1:58 PM, Arthur Kamlet wrote:

> And if membership includes free admission, which you otherwise

> would have had to pay when you attended, subtract that too.

Art - I responded just before your reply hit. I agree the attendance
should be taken into account, but isn't it for the institution to
produce that letter? If it states "no value", who am I to argue?

[Arthur Kamlet]

In article <jfuted$fds$1...@dont-email.me>,

JoeTaxpayer <JoeTa...@comcast.net> wrote:
>On 1/27/12 1:58 PM, Arthur Kamlet wrote:
>
>> And if membership includes free admission, which you otherwise
>> would have had to pay when you attended, subtract that too.
>
>Art - I responded just before your reply hit. I agree the attendance
>should be taken into account, but isn't it for the institution to
>produce that letter? If it states "no value", who am I to argue?

I'll buy that but the charity ned not issue a receipt for under $250.

--

ArtKamlet at a o l dot c o m Columbus OH K2PZH

[ira smilovitz]

On Friday, January 27, 2012 5:26:31 PM UTC-5, Arthur Kamlet wrote:
> In article <jfuted$fds$1...@dont-email.me>,
> JoeTaxpayer <JoeTa...@comcast.net> wrote:
> >On 1/27/12 1:58 PM, Arthur Kamlet wrote:
> >
> >> And if membership includes free admission, which you otherwise
> >> would have had to pay when you attended, subtract that too.
> >
> >Art - I responded just before your reply hit. I agree the attendance
> >should be taken into account, but isn't it for the institution to
> >produce that letter? If it states "no value", who am I to argue?
>
>
> I'll buy that but the charity ned not issue a receipt for under $250.

If any goods or services are provided in exchange for the donation, the receipt threshold is $75, not $250.

Ira Smilovitz
Leonia, NJ

[JoeTaxpayer]

On 1/27/12 6:38 PM, ira smilovitz wrote:
> On Friday, January 27, 2012 5:26:31 PM UTC-5, Arthur Kamlet wrote:
>> In article<jfuted$fds$1...@dont-email.me>,
>> JoeTaxpayer<JoeTa...@comcast.net> wrote:
>>> On 1/27/12 1:58 PM, Arthur Kamlet wrote:
>>>
>>>> And if membership includes free admission, which you otherwise
>>>> would have had to pay when you attended, subtract that too.
>>>
>>> Art - I responded just before your reply hit. I agree the attendance
>>> should be taken into account, but isn't it for the institution to
>>> produce that letter? If it states "no value", who am I to argue?
>>
>>
>> I'll buy that but the charity ned not issue a receipt for under $250.
>
> If any goods or services are provided in exchange for the donation, the receipt threshold is $75, not $250.

I looked. Aquarium Membership. Family Membership was $135, and they
wrote 'value of benefit' $15.50 which is crazy as it's $84 to get 4
people in. So after the second visit I'm ahead and $120 is a deduction.
Honestly, if I were the IRS, I'd ask where $15.50 comes from, with one
adult admission $23.

[Pico Rico]

"JoeTaxpayer" <JoeTa...@comcast.net> wrote in message
news:jfve8a$f3b$1...@dont-email.me...

> On 1/27/12 6:38 PM, ira smilovitz wrote:
>> On Friday, January 27, 2012 5:26:31 PM UTC-5, Arthur Kamlet wrote:
>>> In article<jfuted$fds$1...@dont-email.me>,
>>> JoeTaxpayer<JoeTa...@comcast.net> wrote:
>>>> On 1/27/12 1:58 PM, Arthur Kamlet wrote:
>>>>
>>>>> And if membership includes free admission, which you otherwise
>>>>> would have had to pay when you attended, subtract that too.
>>>>
>>>> Art - I responded just before your reply hit. I agree the attendance
>>>> should be taken into account, but isn't it for the institution to
>>>> produce that letter? If it states "no value", who am I to argue?
>>>
>>>
>>> I'll buy that but the charity ned not issue a receipt for under $250.
>>
>> If any goods or services are provided in exchange for the donation, the
>> receipt threshold is $75, not $250.
>
> I looked. Aquarium Membership. Family Membership was $135, and they wrote
> 'value of benefit' $15.50 which is crazy as it's $84 to get 4 people in.
> So after the second visit I'm ahead and $120 is a deduction. Honestly, if
> I were the IRS, I'd ask where $15.50 comes from, with one adult admission
> $23.
>

Just because and adult admission costs $23 doesn't mean it is worth it.
Some of that might be a donation (forced, sure).

[Stuart A. Bronstein]

JoeTaxpayer <JoeTa...@comcast.net> wrote:

> I looked. Aquarium Membership. Family Membership was $135, and
> they wrote 'value of benefit' $15.50 which is crazy as it's $84
> to get 4 people in. So after the second visit I'm ahead and $120
> is a deduction. Honestly, if I were the IRS, I'd ask where
> $15.50 comes from, with one adult admission $23.

My guess is that they mean $15.50 per person in the family. It would
be less than admission because not everyone actually attends (and if
they do it might not be for some time), which reduces the average
value.

Again, that's a complete guess. But it's the only thing that makes
sense to me.

___
Stu
http://DownToEarthLawyer.com

[Stuart A. Bronstein]

"Pico Rico" <Pico...@nonospam.com> wrote:

> Just because and adult admission costs $23 doesn't mean it is
> worth it. Some of that might be a donation (forced, sure).

If someone who is not a member pays that, that's the market value.
Remember that market value is defined as what a willing buyer pays a
willing seller, with neither under a compulsion to buy or sell.

___
Stu
http://DownToEarthLawyer.com

[Pico Rico]

"Stuart A. Bronstein" <spam...@lexregia.com> wrote in message
news:Xns9FE84537B294Fs...@130.133.4.11...

> "Pico Rico" <Pico...@nonospam.com> wrote:
>
>> Just because and adult admission costs $23 doesn't mean it is
>> worth it. Some of that might be a donation (forced, sure).
>
> If someone who is not a member pays that, that's the market value.
> Remember that market value is defined as what a willing buyer pays a
> willing seller, with neither under a compulsion to buy or sell.
>

If a public aquarium (or something else) of equal status (?) costs $10, and
this costs $15, I would suggest that the value is $10 and the $5 is a
donation. Even if compelled.

If you donate to your PBS station and get a coffee cup as a thank you, it
doesn't mean the coffee cup is equal to the amount of your donation.

[Barry Margolin]

In article <Xns9FE845080FBA4s...@130.133.4.11>,

"Stuart A. Bronstein" <spam...@lexregia.com> wrote:

> JoeTaxpayer <JoeTa...@comcast.net> wrote:
>
> > I looked. Aquarium Membership. Family Membership was $135, and
> > they wrote 'value of benefit' $15.50 which is crazy as it's $84
> > to get 4 people in. So after the second visit I'm ahead and $120
> > is a deduction. Honestly, if I were the IRS, I'd ask where
> > $15.50 comes from, with one adult admission $23.
>
> My guess is that they mean $15.50 per person in the family. It would
> be less than admission because not everyone actually attends (and if
> they do it might not be for some time), which reduces the average
> value.
>
> Again, that's a complete guess. But it's the only thing that makes
> sense to me.

They obviously have to make some assumptions and estimates when valuing
these things. If membership allows unlimited attendance, you could
conceivably go every day of the year, which would be $21 * 365 = over
$7600 per person. But it would be ridiculous to value a $135 membership
as this much.

--
Barry Margolin
Arlington, MA

[removep...@yahoo.com]

On Jan 27, 10:58 am, kam...@panix.com (Arthur Kamlet) wrote:

\> removeps-gro...@yahoo.com <removeps-gro...@yahoo.com> wrote:
> >On Jan 27, 10:29 am, "ps56k" <pschuman_no5pam...@interserv.com> wrote:
>
> >> how & where do we report our memberships with non-profit organizations ?
> >> ie - local botanical gardens, art institute, museums, PBS, etc -
>
> >Schedule A, but you must subtract the FMV of the stuff you received
> >from them, like T shirts, discounts, magazine subscriptions, DVD's,
> >etc.  Ask them for FMV.
>
> And if memberhsip includes free admission, which you otherwise
> would have had to pay when you attended, subtract that too.

Yep, that's a 100% discount.

[removep...@yahoo.com]

On Jan 27, 4:07 pm, JoeTaxpayer <JoeTaxpa...@comcast.net> wrote:

> I looked. Aquarium Membership. Family Membership was $135, and they
> wrote 'value of benefit' $15.50 which is crazy as it's $84 to get 4
> people in. So after the second visit I'm ahead and $120 is a deduction.
> Honestly, if I were the IRS, I'd ask where $15.50 comes from, with one
> adult admission $23.

Often one can get Entertainment coupons, buy one get one free.

I agree that charities should provide the FMV of good received.
Ideally they should track how many times you came in for free/reduced
admission, and send you a letter at the end of the year saying what
the value of the ultimate donation was, but this would be burdensome
for the charities and not make a dent in the grand scheme of things.

[John Levine]

>Schedule A, but you must subtract the FMV of the stuff you received
>from them, like T shirts, discounts, magazine subscriptions, DVD's,
>etc. Ask them for FMV.

If the charity's receipt includes a FMV amount, are you allowed to rely
on it even if you have a suspicion that the amount that you personally
received was greater, e.g., your kid demands that you go to the zoo
every week?

R's,
John

[Stuart A. Bronstein]

"removep...@yahoo.com" <removep...@yahoo.com> wrote:
> JoeTaxpayer <JoeTaxpa...@comcast.net> wrote:
>
>> I looked. Aquarium Membership. Family Membership was $135, and
>> they wrote 'value of benefit' $15.50 which is crazy as it's $84
>> to get 4 people in. So after the second visit I'm ahead and
>> $120 is a deduction. Honestly, if I were the IRS, I'd ask where
>> $15.50 comes from, with one adult admission $23.
>
> Often one can get Entertainment coupons, buy one get one free.
>
> I agree that charities should provide the FMV of good received.
> Ideally they should track how many times you came in for
> free/reduced admission, and send you a letter at the end of the
> year saying what the value of the ultimate donation was, but
> this would be burdensome for the charities and not make a dent
> in the grand scheme of things.

Normally gifts have to be valued at the time of the gift. So
actuarial or other assumptions/calculations have to be used to
determine a reasonable value in some cases.
___
Stu
http://DownToEarthLawyer.com

[Stuart A. Bronstein]

"Pico Rico" <Pico...@nonospam.com> wrote:
> "Stuart A. Bronstein" <spam...@lexregia.com> wrote

>> "Pico Rico" <Pico...@nonospam.com> wrote:
>>
>>> Just because and adult admission costs $23 doesn't mean it is
>>> worth it. Some of that might be a donation (forced, sure).
>>
>> If someone who is not a member pays that, that's the market
>> value. Remember that market value is defined as what a willing
>> buyer pays a willing seller, with neither under a compulsion to
>> buy or sell.
>
> If a public aquarium (or something else) of equal status (?)
> costs $10, and this costs $15, I would suggest that the value is
> $10 and the $5 is a donation. Even if compelled.

The value is an issue of fact. If everyone who goes, supporters,
members or not, pays $15, it's probably more valuable to people who
go there than another place that charges $10.

> If you donate to your PBS station and get a coffee cup as a
> thank you, it doesn't mean the coffee cup is equal to the amount
> of your donation.

But you're not donating to get the coffee. You're donating to
support your station. The question is which comes first, and what
would someone pay who has no interest in supporting the organization
in the abstract.

___
Stu
http://DownToEarthLawyer.com

[Katie in San Diego]

On Jan 27, 10:29 am, "ps56k" <pschuman_no5pam...@interserv.com> wrote:

> how & where do we report our memberships with non-profit organizations ?
> ie - local botanical gardens, art institute, museums, PBS, etc -
>
> --
> / _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/ _/
> No Good Deed -
>          Goes Unpunished
>

See Reg §1.170A-1(h)(3). The value of services that is disregarded
includes annual membership benefits offered for a payment of $75 or
less per year that the taxpayer can exercise frequently during the
membership period, such as free or discounted admission to the
organization's facilities, free or discounted parking, preferred
access to or discounts on the purchase of goods or services.

If you paid $75 or less for an annual membership, you do not need to
reduce your contribution by the real or estimated value of free or
discounted admission, discounts at the gift store, etc.

Katie in San Diego

[Rich Carreiro]

Katie in San Diego <katie...@yahoo.com> writes:

> If you paid $75 or less for an annual membership, you do not need to
> reduce your contribution by the real or estimated value of free or
> discounted admission, discounts at the gift store, etc.

How does that work when a membership covers multiple people?

For example, say an individual membership was $70 while
a "dual" membership was $120.

If spouses each bought a $75 individual membership they
wouldn't have to make any reduction, but if they bought
a single $120 membership that covered both of them, they
would?

--
Rich Carreiro rlc-...@rlcarr.com

[removep...@yahoo.com]

On Feb 10, 10:59 am, Katie in San Diego <katiej_1...@yahoo.com> wrote:

> See Reg §1.170A-1(h)(3).  The value of services that is disregarded
> includes annual membership benefits offered for a payment of $75 or
> less per year that the taxpayer can exercise frequently during the
> membership period, such as free or discounted admission to the
> organization's facilities, free or discounted parking, preferred
> access to or discounts on the purchase of goods or services.
>
> If you paid $75 or less for an annual membership, you do not need to
> reduce your contribution by the real or estimated value of free or
> discounted admission, discounts at the gift store, etc.

This is a really arbitrary number. How is it justified by the
statute? I think the section is IRC 170. I noticed the following
strange line in there

BEGIN QUOTE

(E) Regulations
The Secretary shall prescribe such regulations as may be necessary or
appropriate to carry out the purposes of this paragraph, including
regulations that may provide that some or all of the requirements of
this paragraph do not apply in appropriate cases.

END QUOTE

Ie, looks like they're saying the regulations can violate the statute
if appropriate?