Form 8283 Noncash Charitable Contributions

[Dan]

Question: How does one come up with the amount to enter in Column (f) in Section A (part 1)?

For example: used clothing is donated to a charity and the fair market value is $500 which is entered in column (g), what do you enter in column (f) Donor's cost or adjusted basis?

Also what is the method used to determine the fair market value? Thrift shop value or is it comparative sales.

What if you donate 4 different items in section A, part 1? You have Clothing as $500; Kitchen items as $300; Books as $300 and Nick nacks as $300 can you leave columns d,e,f, blank?

When I read the instructions it says: Note. If the amount you claimed as a deduction for an item is $500 or less, you do not have to complete columns (d), (e), and (f).

[TAXBILLY]

1) Donor's cost basis. I usually divide the amount by 0.15.

2) Salvation army usually has a list showing what they sell the items for.

3) ?? You answered your own question. Just follow the instructions.

taxbilly

[JRS]

The Tax Book and Quickfinder both have a fair market guides that cover most anything that your clients would donate to the Goodwill or the Salvation Army.