prior-year-donations fix 5 days later.

Discuss questions around local unit policies for budgeting, reconciling, etc. This forum should not contain specific financial or membership information.
utefan001
New Member
Posts: 2
Joined: Mon Dec 17, 2012 2:32 pm

prior-year-donations fix 5 days later.

Postby utefan001 » Thu Jan 09, 2014 3:38 pm

Sorry if this has been asked already.

I processed and deposited tithing 5 days ago (1/5/2014) and one check was mailed to the bishop on December 26th but did not get processed until 1/5/2014. The member wants it to count for tax year 2013.

This link https://www.lds.org/callings/melchizede ... s?lang=eng

says I can do the following.
- Delete the donation out of the batch.
- Add the donation to a new donation batch dated on or before December 31 of the previous year. You must indicate that the funds were received or postmarked on or before December 31 of the previous year.
- File the batch documents with the previous year's financial records.

Does it matter that the bank deposit has already been done for this check? If so, that means I would create a new batch but would not have anything to deposit at the bank.

jdlessley
Community Moderators
Posts: 6522
Joined: Sun Mar 16, 2008 11:30 pm
Location: USA, TX

Re: prior-year-donations fix 5 days later.

Postby jdlessley » Thu Jan 09, 2014 7:27 pm

utefan001 wrote:Does it matter that the bank deposit has already been done for this check?

No

utefan001 wrote:If so, that means I would create a new batch but would not have anything to deposit at the bank.

Correct. You will have an adjusted batch report for the 5 Jan donation batch and a new donation batch report for the 31 Dec donation batch. Make sure you remove the donation slip from the 5 Jan donation batch paperwork and file it with the 31 Dec 2013 donation batch paperwork.
JD Lessley
Have you tried finding your answer on the LDS.org Help Center page or the LDSTech wiki?

Gary_Miller
Senior Member
Posts: 1216
Joined: Thu Dec 08, 2011 10:42 am
Location: Emmett, Idaho

Re: prior-year-donations fix 5 days later.

Postby Gary_Miller » Fri Jan 10, 2014 8:38 am

The question that has to be asked is.
Was the donation recieved by the Bishop before January 1st?
Just because the member said they mailed it does not count as being recieved.

User avatar
aebrown
Community Administrator
Posts: 14688
Joined: Tue Nov 27, 2007 8:48 pm
Location: Sandy, Utah

Re: prior-year-donations fix 5 days later.

Postby aebrown » Fri Jan 10, 2014 8:40 am

Gary_Miller wrote:The question that has to be asked is.
Was the donation recieved by the Bishop before January 1st?
Just because the member said they mailed it does not count as being recieved.

No, that's not a relevant question, unless it was hand-delivered. For a donation sent through the mail, the question is: was it postmarked in 2013? If so, then it should be processed as a 2013 donation, regardless of when the bishop received it.

For such donations, even though the instructions do not require it, I've always considered it prudent to save the envelope with the postmark, just in case any questions arise later.

russellhltn
Community Administrator
Posts: 20734
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: prior-year-donations fix 5 days later.

Postby russellhltn » Fri Jan 10, 2014 11:09 am

Gary_Miller wrote:Just because the member said they mailed it does not count as being recieved.

That is correct.

Gary_Miller wrote:The question that has to be asked is.
Was the donation recieved by the Bishop before January 1st?

In the case of something going though the postal service, the question is the postmark.

Note, this isn't an issue of church policy, but IRS "law of the land". The postmark trumps received date. This works exactly the same way as getting your tax return postmarked by April 15th.
Have you searched the Wiki?
Try using a Google search by adding "site:tech.lds.org/wiki" to the search criteria.

Gary_Miller
Senior Member
Posts: 1216
Joined: Thu Dec 08, 2011 10:42 am
Location: Emmett, Idaho

Re: prior-year-donations fix 5 days later.

Postby Gary_Miller » Fri Jan 10, 2014 11:22 am

Correction

The question that has to be asked is.

Was the donation received by the Bishop or postmarked before January 1st?

Just because the member said they mailed it does not mean it was post marked in time.

However if it was put in the mail on the 26th more than likely it was post marked.

User avatar
benjamincarleski
Member
Posts: 77
Joined: Wed Aug 25, 2010 4:03 pm
Location: Corvallis, OR, USA

Re: prior-year-donations fix 5 days later.

Postby benjamincarleski » Fri Jan 10, 2014 3:11 pm

aebrown wrote:For such donations, even though the instructions do not require it, I've always considered it prudent to save the envelope with the postmark, just in case any questions arise later.

I was reviewing the training last week to check on just this kind of case and found that retaining the envelopes is now a stated step of the process. The Prior Year Donations topic on the training site, which covers the original scenario at the bottom, also has as the last step of the MLS Procedures to "Make sure that you retain any supporting evidence such as envelopes with previous year postmarks and file them with the batch documentation." I don't recall that in previous versions of the year-end procedures though, so perhaps the added emphasis is something new.

User avatar
aebrown
Community Administrator
Posts: 14688
Joined: Tue Nov 27, 2007 8:48 pm
Location: Sandy, Utah

Re: prior-year-donations fix 5 days later.

Postby aebrown » Fri Jan 10, 2014 3:17 pm

benjamincarleski wrote:
aebrown wrote:For such donations, even though the instructions do not require it, I've always considered it prudent to save the envelope with the postmark, just in case any questions arise later.

I was reviewing the training last week to check on just this kind of case and found that retaining the envelopes is now a stated step of the process.

Thanks for the update. I was relying on my memory of the previous instructions. It's certainly good to know that this helpful step has been added.


Return to “Local Unit Finance”

Who is online

Users browsing this forum: No registered users and 1 guest