My client indefinately loaned his piano to a Church. Before loaning it he made repairs and improvements and tuned it. My thinking is the tuning can be treated as a charitable contribution and maybe the repairs but not the improvements. Any one else care to comment?
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I'd include any out of pocket expenses for the improvements, repairs, and tuning (and mileage if significant). No deduction for value of his time though. -
I guess I'll be the devil's advocate here. An "indefinite loan" isn't a contribution. It doesn't sound like you're suggesting deducting the piano, just the improvements and tuning?
If he has given the piano to them, I'd deduct the FMV of the piano after the improvements and tuning.
As to the improvements and tuning (maybe the tuning), I don't think this is a deduction either. But, it isn't a big deal. Why didn't he just donate the money to the church and let them pay for the tuning?Comment
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I don't think there is any deduction anywhere. The church does not own the piano so all issues are for the owner's benefit at some time in the future.
Like was said before, contribute the cash to the church and let them do with it what they want. If the donation was only given to upgrade/repair the piano then there would be no deductible contribution anyway. Contributions must be to the general fund, without stipulations.Last edited by BOB W; 05-11-2008, 02:30 PM.This post is for discussion purposes only and should be verified with other sources before actual use.
Many times I post additional info on the post, Click on "message board" for updated content.Comment
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Agreed, but I wouldn't lose sleep over the tuning if the church would provide a receipt although it certainly isn't correct.Originally posted by BOB W View PostComment
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