Sale of stake purchased technology

Discuss questions around local unit policies for budgeting, reconciling, etc. This forum should not contain specific financial or membership information.
User avatar
rl_albright
Member
Posts: 71
Joined: Sun Apr 28, 2013 10:54 pm
Location: Lakewood, WA

Sale of stake purchased technology

Postby rl_albright » Wed Nov 15, 2017 9:48 pm

I have an interesting question. We have upgraded technology in our stake center, and the devices that we are upgrading still have plenty of usable life in them, they just no longer function for our needs. I am looking to try and re-coup money from upgrades, but I am failing to see how best to do this. If I were to sell it directly, then it would put me in the position of being an "agent for the church," which is how my stake finance clerk puts it. I know there are other stakes out there that need technology but are unable to invest the money that other stakes can (for various reasons).

Is there a policy about this? I don't see this issue going away as technology gets ever better and better.

russellhltn
Community Administrator
Posts: 22865
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: Sale of stake purchased technology

Postby russellhltn » Wed Nov 15, 2017 10:25 pm

This may be more of a finance issue. As long as the stake paid for the equipment, personally, I don't see a problem with them selling it and recouping any remaining value. I'm not sure what the concern about being an "agent for the church" is. In this case, it would seem to me that you're an agent of the unit, not "the church".
Have you searched the Wiki?
Try using a Google search by adding "site:tech.lds.org/wiki" to the search criteria.

User avatar
rl_albright
Member
Posts: 71
Joined: Sun Apr 28, 2013 10:54 pm
Location: Lakewood, WA

Re: Sale of stake purchased technology

Postby rl_albright » Thu Nov 16, 2017 8:45 pm

russellhltn wrote:This may be more of a finance issue. As long as the stake paid for the equipment, personally, I don't see a problem with them selling it and recouping any remaining value. I'm not sure what the concern about being an "agent for the church" is. In this case, it would seem to me that you're an agent of the unit, not "the church".


The main concern is to ensure that I do not jeopardize the stake or church's 501(3)c status. Or so I am told, because the church is not in the business of selling equipment to the general public. Or so that is what my stake finance clerk is saying. He is err'ing on the side of caution. I understand what he means, but I am sure there are other units out there that have the same problem, and I'm trying to discover any official or unofficial policy regarding this.

russellhltn
Community Administrator
Posts: 22865
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: Sale of stake purchased technology

Postby russellhltn » Thu Nov 16, 2017 9:30 pm

I am not a lawyer, but I'd think there's a distinction between selling something you used and no longer have need for, and retailing (selling something bought for the purpose of re-selling). The section on fund raising has examples of the latter.

Now, what you can do to make sure you're in the clear, I'm not sure. I can think up a few things, but I have no idea what the IRS would be looking for.

But a quick search on "selling used equipment when you're a 501(3)c" turns up some promising information.
Have you searched the Wiki?

Try using a Google search by adding "site:tech.lds.org/wiki" to the search criteria.

russellhltn
Community Administrator
Posts: 22865
Joined: Sat Jan 20, 2007 2:53 pm
Location: U.S.

Re: Sale of stake purchased technology

Postby russellhltn » Thu Nov 16, 2017 10:08 pm

I just thought of a classic example: Mission cars.
Have you searched the Wiki?

Try using a Google search by adding "site:tech.lds.org/wiki" to the search criteria.


Return to “Local Unit Finance”

Who is online

Users browsing this forum: No registered users and 2 guests