Gifts/Contributions Other Than by Cash or Check - Form 8283
Form 8283 is used to report noncash charitable contributions when you are claiming a deduction for property donated to a qualified charitable organization. This form is required for donations that exceed certain thresholds and must be filed with your federal tax return.
When to Use Form 8283
- Use Form 8283 to report noncash charitable contributions where you claimed a deduction of $500 or more.
- Do not use Form 8283 for cash contributions, out-of-pocket expenses for volunteer work, or donations made by check or credit card. These are treated as cash contributions.
- Individuals, partnerships, and corporations must file Form 8283 if they claim a deduction for noncash gifts exceeding $500 (for individuals) or $5,000 (for businesses).
Sections of Form 8283
- Section A: Used for donations of property where the claimed deduction is $5,000 or less per item or group of similar items. This includes publicly traded securities, certain intellectual property, qualified vehicles, and inventory.
- Section B: Required for donations where the claimed deduction exceeds $5,000 per item or group of similar items. A qualified appraisal is required for any gift valued over $5,000. You must file a separate Section B for each donee organization.
Special Rules for Pass-Through Entities
- Partnerships and S corporations must file Form 8283 (Section A or B) if they claim a deduction for noncash gifts exceeding $500.
- If a partnership or S corporation allocates a charitable contribution to its members, each member must file their own Form 8283 with their return.
- Even if the amount allocated to each member is $5,000 or less, Section B must be completed if the total contribution exceeds $5,000.
Appraisal Requirements
- For donations valued over $5,000, a written qualified appraisal by a qualified appraiser is required.
- Form 8283 is an appraisal summary and not a substitute for the actual appraisal.
- For clothing or household items not in good used condition and valued over $500, Section B must be filed.
Capital Gain Property
- Capital gain property includes assets that would result in long-term capital gain if sold at fair market value (FMV).
- You may deduct the FMV of capital gain property, but deductions may be reduced if the property is contributed to certain private nonoperating foundations.
Donee Acknowledgment
- The charitable organization must provide a contemporaneous written acknowledgment as required by section 170(f)(8).
- The acknowledgment must be signed by an official authorized to sign the organization’s tax returns or a designated person.
Source:
Form 8283 - Noncash Charitable Contributions
Disclaimer: Always verify details with the official Federal or State Department of Revenue Forms and Instructions.