CA. Bay Area Practitioners

[Lucho]

If anyone in this forum practice in this area, and have experience on how Parca (a non-profit Org. in Burlingame CA. serving people with developmental Disabilities) treat the donations they receive. My client made donations during the year (not in cash). But all he has is an Acknowledgement Donation Receipt completely blank.

I wonder if they will only value the donation in cash but no for non-cash donations because the taxpayer called the Org. and they said to him that what he got is what they give to any one and is good for tax purpose.

I told my client that the blank acknowledgement receipt is not proof to claim a deduction.

Lucho

[jainen]

>>the blank acknowledgement receipt is not proof to claim a deduction<<

Do you charge extra for pre-auditing your client's return?

Obviously the receipt was not totally blank, because you were able to identify it as exactly what the client said it was. Your job is to apply the 30% and 50% limitations and otherwise complete the return, not analyze the wording of a receipt. Depending on the value, the code calls for surprisingly little substantiation anyway. Pub 526 says you can even skip the receipt entirely sometimes when it is "impractical,"

[Kea]

Lucho, that's the same practice that Goodwill does. It is up to the client to list the items they donated.

[Lucho]

>>the blank acknowledgement receipt is not proof to claim a deduction<<

Do you charge extra for pre-auditing your client's return?

Obviously the receipt was not totally blank, because you were able to identify it as exactly what the client said it was. Your job is to apply the 30% and 50% limitations and otherwise complete the return, not analyze the wording of a receipt. Depending on the value, the code calls for surprisingly little substantiation anyway. Pub 526 says you can even skip the receipt entirely sometimes when it is "impractical,"

Good morning Jainin. And Thank you