How do I determine the highest value I can deduct on income tax for used textbook donations?

Question

i have a few hundred books that were up to $200 retail each. i know you are supposed to find FMV. how can i estimate the highest legal FMV or highest FMV that will not draw attention from the IRS

Answer 1

I've attached a link to a website for used books. You could use that as a guide, or since you say you have a few hundred books, your best bet would be to have some appraise the books in total and put it in writing. Then your next problem is to find someone who will accept the used textbooks, and it has to be an accepted charitable organization, generally a 501 (c) (3) organization, that has tax-exempt status with the IRS.

Answer 2

Fair market value is what they could be sold for used. What they cost at retail has no bearing on their value as a donation. If you don't get a receipt from the organization you donate them to, you don't get any deduction.

If you are donating them to a library book sale or some other charity book sale, probably $1-$2 each. Many library book sales won't even take used textbooks because they don't tend to sell.

If they are very current, you might be able to find someplace to value them higher. If they are currently used college textbooks, you can possibly sell them back to the school bookstore or on the Internet.

Answer 3

in case you itemize, and you donate them to a charity, you may deduct their common marketplace fee as a charitable deduction. Your tax fee low fee rates could be your marginal tax bracket % cases the deduction. you would be greater advantageous off getting your quarter apiece if a million/2 cost books grant you with that. I artwork with a public library that has annual e book sales, and we don't even settle for textbooks for the sale - they do exactly no longer sell. So rather you're probable severe with a $a million each and each fee. despite in case you probably did ruin out with a greenback each and each, till your tax bracket is over 25% you would be besides or greater advantageous off with the quarter each and each from HPB.

Answer 4

Go to a local college bookstore and see what price they are selling the editions you have available. Check eBay also, or any online bookseller. As they are several years old, I doubt they have much 'free market value" and definitely nothing close to the retail price, unfortunately.

Remember, in order to deduct the value on your taxes, you now need to get and keep a receipt from the organization that you donated them to.

Answer 5

With a collection that large you probably are going to need a professional appraisal, assuming that they are still current and in use.

Keep in mind that as textbooks are updated, the value of old versions drops dramatically. Once they're a couple of versions out of date the value is probably only a few $$$ each.

Answer 6

You have to find the *same edition* of the book, in similar condition to yours, for sale at a retail outlet or sold (not just offered for sale, but sold) at an auction-type outlet like ebay (where people can ask any ridiculous price they want).

If you price books more than one or two years old anywhere near their original purchase price, that will draw the IRS's attention. Most used books resell for much, much less.