How Inadequate Documentation and Failure to Follow the Rules Can Really Hurt!

Posted on 06.19.12

If you donate property in excess of $5,000 to a qualified charitable organization, regulations require that taxpayers attach an appraisal summary to Form 8283 “Noncash Charitable Contributions”, and file with their tax return (for contributions in excess of $500,000, a copy of the qualified appraisal must also be attached). These specific requirements led to a total of $18.5 million in charitable deductions becoming disallowed by one taxpayer who did not provide the adequate supporting documents. Inadequate_Documentation

The information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.