Question: If a donor receives no benefit, is their gift at our fundraising event a charitable donation?
Question: We have a donor who wants to buy a table for 10 people at the cost of $10,000 for a fundraising event. They live out of state and will not be attending the event. Instead, they have asked that we use the seats for people who may not be able to afford to attend, for example, family members of the honoree. Am I correct that since the donors are receiving no benefit (the meal), they receive a letter for the entire $10,000 table at our fundraising event as a charitable donation?
Answer:
IF they are not receiving anything for their gift, you are correct. The donor is giving you a gift of $10,000 and receiving no value from that gift beyond feeling good about supporting your mission.
Comments