Distribution Center Charge to Other?

Discuss questions around local unit policies for budgeting, reconciling, etc. This forum should not contain specific financial or membership information.
jdlessley
Community Moderators
Posts: 9914
Joined: Mon Mar 17, 2008 12:30 am
Location: USA, TX

#11

Post by jdlessley »

RussellHltn wrote:I don't think it matters. What account could they pass the funds though and have it show up in the year-end tax statement? Not Other. Not Budget. You might be able to do that though a Missionary account, but you've got some tight controls on what's an allowable expense. And do you really want local leaders making decisions about tax law?
You and I know that if a contribution doesn't show up on the year-end tax valid statement then it is not a charitable contribution for tax purposes. Unfortunately there are a lot of members who do not make the connection between the year-end tax valid statement and what contributions they have made are tax deductible. Many believe that if they fill out a "Tithing and Other Offerings" form then the contribution is tax detuctible because they are giving the contribution to a charitable organization. If the ward or stake leaders do not explain what contributions are or are not tax valid contributions then members may contribute to a Bible distribution program thinking their contribution is a tax valid contribution.
JD Lessley
Have you tried finding your answer on the ChurchofJesusChrist.org Help Center or Tech Wiki?
russellhltn
Community Administrator
Posts: 34490
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

#12

Post by russellhltn »

jdlessley wrote:Many believe that if they fill out a "Tithing and Other Offerings" form then the contribution is tax deductible because they are giving the contribution to a charitable organization.
I think the best way to get that message across would be to modify the form to make that clear.
Have you searched the Help Center? Try doing a Google search and adding "site:churchofjesuschrist.org/help" to the search criteria.

So we can better help you, please edit your Profile to include your general location.
greggo
Member
Posts: 286
Joined: Thu Jan 24, 2008 9:36 am
Location: Battle Creek, MI

#13

Post by greggo »

jdlessley wrote:You and I know that if a contribution doesn't show up on the year-end tax valid statement then it is not a charitable contribution for tax purposes .

I've said this before, but I don't think anyone monitoring this thread can definitivelysay what constitutes a tax deductable charitable contribution (unless they are an IRS auditor). A case where donated money is used to purchase bibles for community distribution may indeed qualify (the church receiving the money is a government recognized charitable organization, the money is appropriately used, and the donor receives no tangible benefit).

However, since donations are made to an "Other" category, the church cannot include these funds in the donor's tax valid statement, because the organization as a whole has no control on how these funds are used.

The donor of course can decide to claim the amount in their tax return, but they won't have an official statement from the church as evidence of the donation (but the yellow copy of the donation slip and/or cancelled check may suffice). The donor shoud consult their tax advisor if they wish to claim donations that are not included in the tax-valid statement.
nbllds-p40
New Member
Posts: 18
Joined: Wed Apr 01, 2009 10:37 pm
Location: Sahuarita, AZ, USA

#14

Post by nbllds-p40 »

Greggo wrote:The donor of course can decide to claim the amount in their tax return, but they won't have an official statement from the church as evidence of the donation (but the yellow copy of the donation slip and/or cancelled check may suffice). The donor shoud consult their tax advisor if they wish to claim donations that are not included in the tax-valid statement.
I initially raised the same concern that others in this thread have posted about donors not being able to claim donations to the "Other" account for tax purposes. Greggo's response most closely follows the answer that I received from the Stake - their yellow donation slip copy is proof enough. Even if that is the case, I don't think anyone donates enough in this case to make it worth their time to worry about it.
Post Reply

Return to “Local Unit Finance”