Thread: Tax Time!
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Old 01-29-2011, 08:48 AM
  #6  
MomtoBostonTerriers
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Originally Posted by Scissor Queen
Originally Posted by davidwent
I know I know bad bad words :D I am just curious,I plan on donating quilts this year. Can that be a deduction on next years taxes? If so how do I determine the value?
Thank you!
David
You can deduct them as a non cash contribution on Schedule A. The value is just the cost of the fabric and batting.
Here's free advice from a CPA: Scissor Queen is correct. You can deduct the cost of the materials you spent to make the quilts. This doesn't have to be a format cash register receipt from a store, but you need to write out a list of everything you used to make the quilt (fabric, batting, blah, blah) and the fair market value of each (i.e. what you paid for that item in a store). Add it up. Date it. Write other details such as a description of the quilt and to whom it was donated. If you are REALLY good, you can take a photo of the quilt and attach it to your receipt list as evidence of the beautiful quilt you made and donated. If the organization to which you donated the quilt give you a receipt (one of those receipts where you fill in the value of the item yourself), just attach it to your information.

The IRS will accept such information as a valid receipt -- but it needs to be done at the time you make the donation (not 3 years later when the IRS wants to audit your tax return). The IRS personnel are real people (I've done that job, too) and they will accept reasonable information to show the value of the item you donated.
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