Silent Auctions are a common fundraising activity for non profit exempt organizations (NPO). They typically include two separate transactions, and it’s important to handle and track them correctly. Here are some helpful guidelines for accepting donations of goods (commonly called ‘in-kind’) and receipts for the winning bidder. Part 1 – Donors of in kind goods to a silent auction …
Political Intervention for a 501(c)(3)
501(c)(3) Non Profit Organizations (NPO) must be mindful and careful while engaging in certain political activities. There are very specific guidelines in the Internal Revenue Code (IRC) that govern these activities. Infractions of these guidelines can jeopardize your exempt status. Organizations exempt under 501(c)(3) of the IRC shall not incur any expenditure for political intervention (of or for a specific …
Record and Receipts for In-Kind Contributions
In-kind contributions are donations of goods and certain professional services rather than monetary donations (think clothing and household items to Goodwill). For Non-Profit Organizations (NPO) of all kinds (both exempt and non exempt from federal income tax), recording in-kind contributions provides a means of recognizing and valuing contributed services and property. Recording In-kind contributions, in addition to monetary, is a …