Donor creating a auction basket comprised of Florida Lottery Tickets? Do I give her a tax receipt?

Theodore VanPatten

Donor creating a auction basket comprised of Florida Lottery Tickets?  Do I give her a tax receipt?  I did read online that the person who wins the basket can't get a tax receipt due to the following.  But what about the person who purchased them and donated them to us?

Financial or Economic Benefit Rule
Internal Revenue Service (IRS) laws allow people who make charitable gifts to 501(c)(3) charitable organizations and select other nonprofit companies to deduct those gifts when itemizing deductions on income tax returns. However, you cannot claim a deduction if you receive or expect to receive an economic benefit in exchange for your donation.

This means you cannot deduct the amount paid for raffle tickets, lottery tickets, bingo cards, or other games of chance where you could win something as a result of your purchase. Similarly, you cannot deduct contributions to lobbying organizations to influence legislation, contributions made to a retirement community that relate to admittance or room and board for you or another person, or dues paid to a fraternal benefit society.


Thank you for your responses, you can respond direct as well

Ted Van Patten
vanpatt@scf.edu

941-752-5336

Ray Bergman

Moving this topic to Organizational Best Practices for better response potential.

Heather Pauli

@Theodore VanPatten I have a similar scenario and am wondering if you ever got an answer to your inquiry? Is the donor of the lottery tickets entitled to a tax receipt, and if so, is it acknowledged as a GIK or for the face value of the tickets or the winning value?