- 11 -
Section 170(a)(1) allows a deduction for any charitable
contribution payment made within the taxable year if the payment
is verified under regulations prescribed by the Secretary. If
the taxpayer makes a charitable contribution of money, the
taxpayer must maintain for each contribution either a canceled
check, a receipt or letter from the charitable organization, or
other reliable written records showing the name of the
organization, the date of the contribution, and the amount of the
contribution. Sec. 1.170A-13(a)(1), Income Tax Regs.
A taxpayer may not deduct any charitable contribution of
$250 or more unless the taxpayer substantiates the contribution
with a written acknowledgment from the charitable organization.
Sec. 170(f)(8)(A). The written acknowledgment must state the
amount of any cash paid, whether the organization provided any
goods or services in consideration for the cash, and the
estimated value of any goods or services provided by the
organization. Sec. 170(f)(8)(B).
At trial, Mr. Beery contended that petitioners donated most
of the $420 each year to the United Way but admitted that
petitioners were unable to locate canceled checks for these
contributions. Petitioners submitted no other records to
substantiate the charitable deductions for the years at issue and
did not present any testimony from a representative of the United
Way or from any other entity to document the disputed
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Next
Last modified: May 25, 2011