if so, what kind of proof do I need that the money was donated as a gift? (and I am an anonymous donor, that is, my friend does not know it was me who donated the money to her as I did it anonymously) what do i need to give IRS to prove that this money was donated...thanks
2007-05-08 06:28:47 · 7 answers · asked by Ultrabrite 1 in Business & Finance ➔ Taxes ➔ United States
Like i gave her a money order so my name was anonymous
2007-05-08 06:29:35 · update #1
It is not tax deductible and, in fact, can be a taxable transaction in certain cases. I doubt that your gift was large enough to qualify for gift tax treatment, but it indicates that the IRS is not going to grant you any special treatment for a gift to anyone other than a 501 charitable organization.
I hope this helps.
2007-05-08 06:38:18 · answer #1 · answered by Anonymous · 0⤊ 0⤋
No, you can't deduct it - why would the other taxpayers be required to subsidize a gift to your friends? So the rest of your question, what do you need to prove to the IRS that you gave them the gift, has no meaning - you don't, unless it's over the limit for filing a gift tax return. If one person gives a gift to one other person of over $12,000 (total gifts for a calendar year) then the giver has to file a gift tax return, and might have to pay a gift tax on the amount given.
And contrary to what one of the responders above said, you can't make the donation to an approved charity and ask them to give it to your friend - that would make it non-deductible even though you gave it through a legal charity. You can't specify a particular recipent and still deduct it.
And you could only take a deduction or credit for college tuition if the person is your dependent or spouse.
2007-05-08 08:37:15 · answer #2 · answered by Judy 7 · 1⤊ 0⤋
Donations aren't any more tax credit. they are tax deductions. there's a distinction. And no. in hassle-free words donations to valid 501.c.3 nonprofit charitable corporations are deductible. in spite of the indisputable fact that the tax deduction in hassle-free words counts in case you itemize on time table A. Which maximum folk do not. i will guess you do not even understand in case you itemized very last three hundred and sixty 5 days.
2016-11-26 19:27:31 · answer #3 · answered by Anonymous · 0⤊ 0⤋
No. "Donations" to friends or family are not deductible in any way. It is considered a gift and gifts to anyone are not deductible.
2007-05-08 07:09:24 · answer #4 · answered by Wayne Z 7 · 1⤊ 0⤋
It depends on the nature of the gift. Generally speaking, you cannot. Organizations have to go through a lot to qualify as charitible organizations so that contributions can be tax deductible. Your friends and family are probably don't have that status.
An exception to the rule would be if you paid for someone's college tuition since there are allowances for that.
2007-05-08 06:39:46 · answer #5 · answered by lepninja 5 · 1⤊ 3⤋
You can only donate money that is tax deductable to government approved organizations. Notice how I said government approved. BLAHHH!!!
Federal reserve note transfers are better because the donated amounts are not trackable. Besides that, what we do with our federal reserve notes is none of the governments business.
Nickle
2007-05-08 06:48:06 · answer #6 · answered by Nickle 1 · 0⤊ 3⤋
no
think about it, if you could do this,, we'd all just exchange 'gifts' and pay no tax...
2007-05-08 06:35:38 · answer #7 · answered by Jo Blo 6 · 2⤊ 0⤋