FW: [Husker] Donations (fwd)

[Steve]

In accordance with Section 6115 of the Internal Revenue Code, the amount of
one's total contribution deductible for Federal income tax purposes must be
reduced by the value of any benefit one receives in consideration for the
contribution.

Further, Section 170(1)(2)(B) of the Internal Revenue Code values the
benefit of receiving "the right to purchase tickets for seating at an
athletic event" at 20% of the gift payment... This rule applies whether or
not tickets would have been readily available for purchase without a
contribution.

So, the amount of your contribution less the value of benefits received
(20%) will be fully deductible as a charitable contribution unless otherwise
reduce by other applicable rules and regulations of the IRS.


BOTTOM LINE:
A $250 'donation' can be counted as a $200 charitable contribution. The 
$200 deduction would be 'refundable' at your current tax rate.


DISCLAIMER:
No...I am not a lawyer, an accountant or a tax expert.  Check with your tax
advisor for further clarification.


Go Big Red!  


Steve Gomez
Loves Park, IL
(deep behind enemy lines in Big TelEveN country)


-----Original Message-----
From: husker-bounces at tssi.com [mailto:husker-bounces at tssi.com] On Behalf Of
Mike Nolan
Sent: Friday, January 13, 2006 11:18 AM
To: husker at romaine.tssi.com
Subject: RE: [Husker] Donations (fwd)

> One possible reason,  donations are tax deductible.  So if I pay $250 for
> season tickets and $250 in a donation,  I get $ 50-100 off my taxes

The IRS has looked at the tax-deductibility of 'donations' tied to ticket
allocations for other schools, so far they haven't closed this particular 
loophole.  I suspect they'd have the wrath of Congress upon them in a 
heartbeat if they did.
--
Mike Nolan