Deductible donation?

[JohnH]

I don't believe the post office is a qualified charity. As such, it's not deductible.

Looks like it's morphing into a non-profit organization. It wasn't meant to be, but that's the way things are turning out.

[FEDUKE404]

Now, back to the original post

"A postal worker donates 2 days of his holiday pay..."

Somehow we have now morphed into "leave" or something similar. Perhaps the original poster can clarify??

I still take the position that if the worker in fact donated x dollars of money from y taxable income, that is certainly a qualifying contribution so long as the recipient "organization" (such as many corporate structures have) is a qualifying charity.

My own former employer used to encourage the workers to donate "a day's worth of pay," or something comparable, to United Way or similar....they were not giving time or vacation...but that was generally a guideline. Some folks would indeed "give" a days worth of leave to an employee experiencing personal difficulties, but there was never any consideration of that having any value as a "donation" for income tax purposes.

OTOH, in this case, if "leave" was donated that changes things completely, as well as even money that might go to a specified employee or something similar. The infamous "flower fund" comes to mind.

Perhaps if the question were posed in a clearer manner the proper answer might be more easily determined?

FE

[Zee]

"A postal worker donates 2 days of his holiday pay..."

Somehow we have now morphed into "leave" or something similar. Perhaps the original poster can clarify??

I still take the position that if the worker in fact donated x dollars of money from y taxable income, that is certainly a qualifying contribution so long as the recipient "organization" (such as many corporate structures have) is a qualifying charity.

My own former employer used to encourage the workers to donate "a day's worth of pay," or something comparable, to United Way or similar....they were not giving time or vacation...but that was generally a guideline. Some folks would indeed "give" a days worth of leave to an employee experiencing personal difficulties, but there was never any consideration of that having any value as a "donation" for income tax purposes.

OTOH, in this case, if "leave" was donated that changes things completely, as well as even money that might go to a specified employee or something similar. The infamous "flower fund" comes to mind.

Perhaps if the question were posed in a clearer manner the proper answer might be more easily determined?

FE

Yes, the originator's post does say " holiday pay". I assumed donated "leave" is most likely what occurred and it's simply a "leave" program. After further reading, it appears the USPS "earned leave" may also be taken as cash and there are indeed programs in other companies to donate "holiday pay". I've read some info on the USPS, but don't see any reference to "holiday pay" donations.

But, I would agree more questions should be asked to the taxpayer. However, IMHO it is still very doubtful the donation is deductible.

[Burke]

they have no basis in the hours given to the other employee because they have not received it and paid taxes on it yet.
No basis, no deduction..quite a basic concept.

That's exactly what I am thinking. It would only be deductible if it was put into his W-2. Otherwise, no. You can look at in the same way donations from an IRA to a charity; if paid to the TP and he donates, deductible. If treated as a QCD and paid directly to the charity, not included in 1099-R and not deductible.