Charity Gave Contribution Back

[TAXNJ]

Question: file amended 2007 return?

IRS approved charity gave back a 2007 $10,000 contribution because it decided in 2008 not to continue with the specific project .

Client had taken the deduction on 2007 tax return but given the $10,000 back in 2008 by the IRS approved charity.

Thanks in advance

[Bees Knees]

It is called a recovery of an itemized deduction. You will find the rules under recoveries in TTB page 3-21 on how to report it. The explanation in TTB is clear and easy to understand.

[TAXNJ]

Thank You

Thank You and Happy Holidays