I donated 170 books to our library this year. ItsDeductibleOnline says the donation value is $680, and Turbo Tax is asking for the Purchase Price (Adjusted Basis). How do I determine this? Thanks in advance!
The IRS defines fair market value FMV as the price at which the property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or to sell and both having reasonable knowledge of relevant facts.
This is a vague definition that does not provide much guidance in determining FMV. You may research book values online or at used book stores that specialize in Pastoral books to determine the FMV of your books.
This link Publication 561 (4/2007), Determining the Value of Donated Property has general information that you may find useful.
You would have to estimate what the purchase price is if you do not have a receipt to reference. The value will not affect the amount of your deduction, it is used so the IRS can estimate the reasonableness of the amount your are deducting.
ThomasM125
My donation is an entire Pastoral library accumulated over 40 years in church ministry. About a third are reference works such as Theology sets commentaries etc. The remainder are general books on various topics. I have no receipts. How do I figure the value?
Thanks
The IRS defines fair market value FMV as the price at which the property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or to sell and both having reasonable knowledge of relevant facts.
This is a vague definition that does not provide much guidance in determining FMV. You may research book values online or at used book stores that specialize in Pastoral books to determine the FMV of your books.
This link Publication 561 (4/2007), Determining the Value of Donated Property has general information that you may find useful.