Blog and News

The fine art of valuing donated property

Posted Nov 02, 2018

Share Online:



Sunshine





Not-for-profits often struggle with valuing noncash and in-kind donations. Although the amount that a donor can deduct generally is based on the donation’s fair market value (FMV), there’s no single formula for calculating it. FMV is the price that property would sell for on the open market. There are three particularly relevant FMV factors: 1) original cost or selling price of the donated item, 2) sales price of property similar to the donated item and 3) replacement cost. Note: The rules for business donations of inventory are different. Contact us for details.





Posts You Might Also Like:

2023 Arizona Tax Credits

2022 Arizona Tax Credits