is Mudcat contrib deductible?

Subject: RE: is Mudcat contrib deductible?
From: Sandra in Sydney
Date: 23 Apr 08 - 08:21 PM

We can't afford to get our tax exempt status, therefore any donations are not tax-deductible from Mudcat support page

Subject: RE: is Mudcat contrib deductible?
From: jacqui.c
Date: 23 Apr 08 - 07:12 AM

Just what we do Deb. Never even gave a thought to whether it's deductible. this place is playtime so far as I'm concerned and it's a lot less expensive than a lot of other playtime activities.

Subject: RE: is Mudcat contrib deductible?
From: TRUBRIT
Date: 22 Apr 08 - 11:20 PM

Send money anway - and don't worry about tax deductibility????

Subject: RE: is Mudcat contrib deductible?
From: JohnInKansas
Date: 22 Apr 08 - 09:33 PM

According to the IRS regulations as contained in my current year tax package, any contribution of $250 or more must be supported by a statement from the recipient, or by bank statements or cancelled checks clearly showing to whom the payment was made.

The appearance is that this would include "cumulative donations" made in several separate contributions to the same recipient.

Total contributions of $75 or more to a single receiver can be questioned, and the IRS warns that documentation may be requested.

The current "regulation" specifically states that "records kept by the individual"¹ are NOT ACCEPTABLE EVIDENCE for charitable gifts.

¹ A few years back, in a "paperwork reduction move," the IRS approved vehicle logs maintained by the operator as being sufficient for business fuel expense deductions, without a requirement to save individual receipts, and this sort of log was used acceptably for some other kinds of deductions. This method is now EXCLUDED for charities.

A few years back, many "tax preparers" automatically included 10% of net income as "charitable contributions" whether you indicated that you made any contributions at all. This was an "assumed average" that they figured wouldn't be questioned. I don't know whether that's the custom now, since I can't afford a good accountant and the "preparers" screwed up so many things that I've always done my own.

(Actually with two exceptions - when a wife [ex- for many years now] worked in a "tax office" - I've ALWAYS done my own, even when you had to read the book instead of just flipping into a program. It always seemed safer - - - and more honest.)

John

Subject: RE: is Mudcat contrib deductible?
From: Charley Noble
Date: 22 Apr 08 - 08:45 PM

Jeenia-

The short answer is "no" because Mudcat does not have 501(c)(3) legal status. However, I take the risk of listing it anyway as a charitable contribution, and run the risk of the IRS challenging me on it.

You need to make your own decision on this.

Cheerily,
Charley Noble

Subject: RE: is Mudcat contrib deductible?
From: McGrath of Harlow
Date: 22 Apr 08 - 06:57 PM

The idea of the Mudcat as a spiritual community is an interesting one. Maybe Les Barker's "Church of the Holy Undecided" might be the closest parallel - here's a YouTube vid with him explaining about this - comes in at the three minute mark, after he has polished off the Shipping Forecast.

Subject: RE: is Mudcat contrib deductible?
From: MMario
Date: 22 Apr 08 - 03:24 PM

When I was church treasurer - we were told no one could claim more then $200 in contributions unless they had the reciepts to prove it; either canceled checks or treasurers statement.

That was a goodly number of years ago now, so it may have gone up.

Subject: RE: is Mudcat contrib deductible?
From: PoppaGator
Date: 22 Apr 08 - 03:19 PM

The IRS cannot and will not check the amount you claim to have put in the weekly collection at church. It's been years since I itemized (only did it in the early years of my home mortgage), so I don't recall the exact wording, but I do know that you can claim any plausible sum without being audited ~ or, at least, you could do so 10-15 years ago. $20 per week would certainly not be an unreasonable claim, and that comes to over $1,000/yr.

I'm NOT recommending tax fraud, I'm merely pointing out that a modest contribution to your spiritual community (or communities) is perfectly OK and more-or-less expected, and that a provision exists whereby you can honestly deduct the actual amount of your gift.

Now, if you were planning to kick in thousands upon thousands of dollars, you might rethink. You'd want 501(c)(3) paperwork to be able to deduct such a sizeable and highly visible transaction, and you're unlikely to get it from Mudcat. Unless, of course, it's so generous that Max could use it to pay a CPA to set up the non-profit paperwork and still have plenty left over.

Subject: RE: is Mudcat contrib deductible?
From: Midchuck
Date: 22 Apr 08 - 11:39 AM

Have you ever SEEN an IRS application for 501(c)(3) status?

Think of an income tax form with as many pages as most magazines, and you have to fill them all out.

Peter.

Subject: RE: is Mudcat contrib deductible?
From: maeve
Date: 22 Apr 08 - 11:37 AM

No, I do not think so, Leeneia.

Subject: is Mudcat contrib deductible?
From: GUEST,leeneia
Date: 22 Apr 08 - 11:30 AM

Max is moving, and the Mudcat will cost more to run than it did before. Time for another contribution!

Tax question: is the Mudcat Cafe a 501 c3 organization? Can I deduct my contribution at tax time?