DISCLAIMER: These posts contain hints, tips and ideas from folks that have had some experiences dealing with this. It is NOT meant to be legal advice here - just related experiences. Please consult with a reputable professional if necessary. To: equinerescue@MyList.net Date: Wed, 28 Oct 1998 10:12:24 -0500 Subject: EQ-ResQ: Tax questions From: jaci_ackerman@juno.com (Jacalyn D Ackerman) I apologize if this has been covered before, but I have tax questions. We are a tax-exempt non-profit. If someone fosters a horse from us, can they write off their expenses? If someone adopts a horse from us (we maintain legal ownership) can they write off their expenses? How about the adoption fee? What if we call it a donation? If someone donates services (vet or farrier, for instance) can they write it off as a donation? When I travel for the Rescue League, what can I write off? Mileage? Just gas? What if I buy a computer and use it for Rescue League work? How much (if any) can I write off? Thanks! Jaci Ackerman, vice-president North Carolina Equine Rescue League jaci_ackerman@juno.com members.aol.com/ncerl Visit www.eyegive.com and select NCERL as your charity. Everytime you click on the page we earn money to help horses. Set www.eyegive.com as your start page! It's free! ============================================================ Date: Wed, 28 Oct 1998 07:31:35 -0800 To: equinerescue@MyList.net, jaci_ackerman@juno.com (Jacalyn D Ackerman) From: Mike Dodge Subject: Re: EQ-ResQ: Tax questions At 10:12 AM 10/28/98 -0500, you wrote: >I apologize if this has been covered before, but I have tax questions. >We are a tax-exempt non-profit. > >If someone fosters a horse from us, can they write off their expenses? Yes, They can take a deduction as in kind services. >If someone adopts a horse from us (we maintain legal ownership) can they >write off their expenses? How about the adoption fee? What if we call it >a donation? They can write off the donation but don't put a fee in your adoption contract. >If someone donates services (vet or farrier, for instance) can they write >it off as a donation? Absolutely, as in kind services. ue League, what can I write off? Mileage? Just >gas? You can write off all expenses of a business trip. >What if I buy a computer and use it for Rescue League work? How much (if >any) can I write off? It depends on what percentage of the computer is used for rescue work. You would be better off getting a computer donated and using it for the rescue work. Makes the record keeping easier. > >Thanks! > >Jaci Ackerman, vice-president North Carolina Equine Rescue League Chris And Mike Dodge,Founders H.O.R.S.E. Rescue and Sanctuary,Inc. http://www.geocities.com/rainforest/1080 ICQ #6714413 Help H.O.R.S.E Rescue earn money by visiting www.eyegive.com and register. Each time you visit HRS earns money to save horses. If you buy we get a percentage. It's free and easy. ============================================================ Date: Wed, 28 Oct 1998 10:46:14 -0500 From: Suzan Carmichael Subject: EQ-ResQ: Tax Questions? Pat, Have we ever covered tax information on rescues? I can't remember do this. Would this be something we might could discuss? I am sure all the established rescues could share their knowledge with the new ones starting up. Does anyone else think someone might benefit from this. Of course, everyone should verify anything with their accountant, but it might offer some insight into what is and is not deductable, etc. Suzan Twin Oaks Farm South Carolina ============================================================ From: "Scott & Joyce Turner" To: , "Mike Dodge" Subject: Re: EQ-ResQ: Tax questions Date: Wed, 28 Oct 1998 10:32:21 -0600 >>If someone donates services (vet or farrier, for instance) can they write >>it off as a donation? > >Absolutely, as in kind services. Be careful, I was told by our C.P.A. that the farrier and vets can not deduct services only expenses like the shoes themselves but not his time so for a $40.00 shoeing he can only deduct the actual cost of the shoes not his charge for time. Same with a pony we wanted to have gelded the vet could not get a deduction for doing the procedure just his expenses. If there is a loop hole out there PLEASE let me know this has really thrown a wrench in our stuff. So far I am paying for it all (OUCH) and will get the deductions because its a cash donation that then went to the care of our ponies. But I would much rather find a way to just give the vets & farriers receipts. This is getting tight on my wallet. Joyce Turner Personal Ponies Oklahoma Chapter ============================================================ ============================================================ Date: Wed, 28 Oct 1998 09:16:43 -0800 To: equinerescue@MyList.net, "Scott & Joyce Turner" From: Mike Dodge Subject: Re: EQ-ResQ: Tax questions At 10:32 AM 10/28/98 -0600, you wrote: >>>If someone donates services (vet or farrier, for instance) can they write >>>it off as a donation? >> >>Absolutely, as in kind services. > > >Be careful, I was told by our C.P.A. that the farrier and vets can not >deduct services only expenses like the shoes themselves but not his time so >for a $40.00 shoeing he can only deduct the actual cost of the shoes not >his charge for time. Same with a pony we wanted to have gelded the vet >could not get a deduction for doing the procedure just his expenses. If >there is a loop hole out there PLEASE let me know this has really thrown a >wrench in our stuff. So far I am paying for it all (OUCH) and will get the >deductions because its a cash donation that then went to the care of our >ponies. But I would much rather find a way to just give the vets & farriers >receipts. This is getting tight on my wallet. > >Joyce Turner Joyce, You are correct that materials only may be deducted but if a farrier reports the $40 as income then he may deduct the labor and materials. Doesn't make much sense to do it that way since the bookkeepping is doubled that way but it can be done. Mike Chris And Mike Dodge,Founders H.O.R.S.E. Rescue and Sanctuary,Inc. http://www.geocities.com/rainforest/1080 ============================================================ Date: Wed, 28 Oct 1998 19:21:23 -0700 To: equinerescue@MyList.net From: Pat Calloway Subject: EQ-ResQ: CLASS: Tax Q&A Since no experts have stepped forward to lead the class , let's just go ahead and ask whatever questions you might have that pertain to taxes and non-profits and folks can answer with their personal experiences - it's not meant to be legal/tax advice, but may give you some ideas to talk to your tax person about deductions, etc. So, what are some questions? I'll save the discussion and post on the Equine Rescue Mailing List Home Page when we're done - have already saved the tax subjects so far. ============================================================ From: "KATHLEEN BIRNEY" To: , "Deborah Peterson-Lipscomb" Subject: Re: EQ-ResQ: Tax Questions?/classes Date: Wed, 28 Oct 1998 12:55:08 -0500 We am still in the process of doing this ourselves. BUT you ask for it ;you get it. http://www.exemptlaw.com/faqs/index.html Kate Second Chance Farms Inc. ============================================================