Started By
Message

re: are "donations" to Good will tax deductible?

Posted on 6/12/14 at 10:39 am to
Posted by Napoleon
Kenna
Member since Dec 2007
69237 posts
Posted on 6/12/14 at 10:39 am to
quote:

Goodwill has the most genius business model ever. Their product is donated to them on a mass scale, and they sell it at 100% profit. Genius I tell you.

Their CEO makes over $2 mil a year too. Bet most people don't know that.

So much for a charity.



Which is what I plan on copying.

I have a regular company that does give back, but I would like to explore how to issue these receipts. Last year was the first time I ever used donations toward taxes and I saw the benefit of it.

My business is appliances. Many people throw old ones out. Mostly we get dryers that have a bad thermal fuse. I buy these fuses by the 100 pack at $.90 a piece. I have a guy I pay $10/hour clean them and touch up any paint. I would then sell this unit that I have $10.90 in for $150-200 with a warranty.
We buy units at $10-50 too (some more, like we bought a Sub-Zero broken yesterday for $350, it's an $11 part to repair, it's listed for $1500 now.

It's been lucrative. I have a store opening soon, and a nice eco-sounding name for it and I am splitting it off from my repair company. But I really wanted to see if I could give out tax donation forms. Do I need to start a Charity?

I was thinking about that too, but a totally unrelated one (homeless related).

But if I could tell the people with disposable incomes, the types who would rather spend $900 on a new unit than on $200 for a repair, that I could give them a tax break for the full resale value of the unit, I think that could be helpful.
I don't want units plucked from the trash, I want the nice stuff.
Posted by VOLhalla
Knoxville
Member since Feb 2011
4464 posts
Posted on 6/12/14 at 10:55 am to
You would have to register as a nonprofit organization. Donating to for profit organizations is not tax deductible.
first pageprev pagePage 1 of 1Next pagelast page
refresh

Back to top
logoFollow TigerDroppings for LSU Football News
Follow us on Twitter, Facebook and Instagram to get the latest updates on LSU Football and Recruiting.

FacebookTwitterInstagram