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Important Tips About Charitable Giving
- Be wary of telephone promoters asking for
contributions. If you are solicited by phone, ask that the individual put
their request in writing and provide complete information about the
charitable program.
- Most police and fire departments are funded by tax
dollars. However, their unions and social organizations may solicit you for
contributions. These groups typically use paid fund-raisers to solicit
donations. If you are solicited by an organization using the words “police”
or “firefighter”, call your local police or fire department to verify that
the group is actually supporting the department.
- Watch out for organizations that use questionable
techniques such as sending unordered merchandise or invoices after you have
turned them down for a donation. You are under no obligation to pay for or
return items received under these circumstances.
- Be skeptical of organizations which list only post
office boxes or mail drop "suites." Be particularly cautious of couriers
willing to rush out to your home or office to pick up your donation.
- It is important to investigate charities before you
contribute. Charities have to file tax returns on Form 990 which detail how
they use their contributions. Organizations like
Guidestar.org make those forms
available online. Also, many charities are required to register with the
Secretary of State's office, which information is also available online.
You may check out charities through the Secretary of State's website at
https://secure.sos.state.ga.us/SBR_Weblookup_Prod/Search.aspx
- In fact, not all
organizations with charitable sounding names are actually charities. Many
“for profit” businesses are now using names that sound like charities.
- If a tax deduction is important to you, make sure
the organization has a tax deductible status with the Internal Revenue
Service. "Tax exempt" and "tax deductible" mean different things. "Tax
exempt" means the organization does not have to pay taxes. "Tax deductible"
means your contribution is tax deductible on your income tax return. Make
sure you get a receipt which shows the amount of your contribution and
states that the contribution is tax deductible.
- Many charitable solicitors ask for contributions of
clothing, other household items and vehicles. The Internal Revenue Service
has heightened its scrutiny of tax deductions based on those types of
donations. Rules concerning valuations and receipts have changed
significantly; be sure you understand them completely.
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