Gift Cards

How in someone experience di you process gift Crads. We got a grant from a major company but it was given in gift cards to but equipment. Is it a donation or gift in kind??

Answers

  • JoAnn Strommen
    JoAnn Strommen Community All-Star
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    Are the gift cards for use with their company? Or are they 'spend anywhere' cards? Big difference.

    If spend anywhere, they would be GIK for us. Donations are funds that can be deposited in the bank (or stock that's sold and deposited). Acknowledgement should be detailed on what was given and IMO no donation value stated.

    If cards are for exclusive use with their company, consult your tax advisor. There is an element of self-service and any tax implications for compnay have to be figured on cost basis of items purchased. Been a while since I dealt with but there are a number of factors to consider.

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