IN-KIND GIFTS
Sample Provisions from a Model Gift Acceptance Policy Relating to Gifts of Personal Property

A. APPRAISALS, GENERALLY

Legal and ethical requirements, designed to protect the donor and the “ORGANIZATION NAME,” prohibit the “ORGANIZATION NAME” from appraising gifts. Such appraisals, if required by law or particular circumstances, are to be conducted by appraisers independent of the “ORGANIZATION NAME.” Generally, the cost of such an appraisal will be the donor's responsibility. In unusual circumstances, the Director of Development may approve payment of the cost of an outside appraisal.

B. EVALUATION OF COSTS ASSOCIATED WITH ACCEPTANCE OF CERTAIN GIFTS

Proposed gifts of property and gifts in kind must be evaluated to determine whether the costs to the “ORGANIZATION NAME” associated with receiving the gift can be accommodated prudently. Occasionally, associated costs might weigh against acceptance of a gift.

The authority and responsibility for prompt, careful evaluation of such costs rests with the Director of Development, who shall confer with the Executive Director. Should the Director of Development and the Executive Director disagree about whether to accept a gift, the matter shall be referred to the Gift Acceptance Committee of the Board for a final determination.

C. GIFTS OF PERSONAL PROPERTY

The procedure set forth under Article B. Evaluation of Costs Associated with Acceptance of Certain Gifts, above, will be followed in evaluating the accept-

A. APPRAISALS, GENERALLY

Legal and ethical requirements, designed to protect the donor and the “ORGANIZATION

NAME,” prohibit the “ORGANIZATION NAME” from appraising gifts. Such appraisals, if required by law or particular circumstances, are to be conducted by appraisers independent of the “ORGANIZATION NAME.” Generally, the cost of such an appraisal will be the donor's responsibility. In unusual circumstances, the Director of Development may approve payment of the cost of an outside appraisal.

B. EVALUATION OF COSTS ASSOCIATED WITH ACCEPTANCE OF CERTAIN GIFTS

Proposed gifts of property and gifts in kind must be evaluated to determine whether the costs to the “ORGANIZATION NAME” associated with receiving the gift can be accommodated prudently. Occasionally, associated costs might weigh against acceptance of a gift. The authority and responsibility for prompt, careful evaluation of such costs rests with the Director of Development, who shall confer with the Executive Director. Should the Director of Development and the Executive Director disagree about whether to accept a gift, the matter shall be referred to the Gift Acceptance Committee of the Board for a final determination.

C. GIFTS OF PERSONAL PROPERTY

The procedure set forth under Article B. Evaluation of Costs Associated with Acceptance of Certain Gifts, above, will be followed in evaluating the acceptability of gifts of personal property.

Gifts of personal property shall be used or sold for the benefit of the “ORGANIZATION NAME,” at the sole discretion of the “ORGANIZATION NAME.”

The value of a gift of personal property shall be determined by a qualified appraisal under the terms of the Internal Revenue Code. Donors must complete IRS Form 8283 and all other required government documents. Donors will be informed at the time of the acceptance of such a gift that The “ORGANIZATION NAME” will, as a matter of policy, cooperate fully in all matters related to IRS investigations of noncash charitable gifts.

No personal property shall be accepted under conditions that obligate the “ORGANIZATION NAME” to own the property in perpetuity.

Sample Acknowledgement Language Donation of Property- No Benefit to the Donor

Philomena Philanthropist donates a computer and software to ABC. ABC's  acknowledgement letter should not place a dollar value on the gift, but should contain language describing the gift in significant detail so that Ms. Philanthropist can properly establish the basis for the deduction. For example:

Dear Ms. Philanthropist:

Thank you for your donation of: a Micron computer, model #12345; keyboard; 15" monitor; mouse; and EZ Plan financial planning software Version 2.0. No goods or services were provided to you in return for your donation. Therefore, the full amount of your contribution is deductible for Federal income tax purposes.

Sincerely, ABC Charity

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