tweezy50

Idon't know why this entered my mind. I'm on a fixed income and so it won't affect me directly, but here in the USA; if you buy fabric and notions strictly for charity quilts, would the expenses be tax deductable?? Any accountants or lawyers out there that could give a heads up on this?

Just curious. With the price of fabric and notions going up, some might be interested.
:?:

kraftykimberly

Not sure if this info helps, but I made 20 bags for the silent auction at my daughters school, the lowest price paid was $50, so I used that number to assign a value to each bag, which put me at $1000 for the value donated. My CPA used that amount as a "charitable donation" for tax purposes.

dakotamaid

All quilts have to be donated directly to a non profit organization. If you donate to someone else who makes the quilts that is not tax deductible. I keep records of fabric and batting and postage for quilts I donate. :)

Others will have other advice, mind is from our tax man.:)

Stacey

Absolutely. Just make sure you get some form of proof from the receiving charity.

ckcowl

sorry-double clicked.

ckcowl

yes, when you donate quilts to (qualifying non-profits) the quilts are tax deductable- but you can only claim what you have into the quilt- not the market value.save your reciepts in case you are ever audited.

TacoMama

Thanks for posting this. I wondered if it could be done.

quilt1950

Yup, these posts are correct. You can deduct the cost of purchasing the supplies to make a quilt. You must donate it to a charity. You cannot add anything for your time.

Quilt1950 - Retired (and inactive) CPA

AliKat

That's why I keep an Excel spreadsheet throughout the year. To keep track of every little deductible thing. Doing the spreadsheet ensures that I enter each item in a timely manner. Yes, I have a designated place for entries waiting to be put onto the computer. I also back this up on a flash drive, just in case. I keep the receipts in envelopes: medical, church, donations, etc.

Then when it is tax time all I need is the spreadsheet.

Unfortunately, my time isn't tax deductible. But, since I am slower than average usually, I can understand it. Darn it.

Am I OCD, anal retentive, or just plain overorganized. Personally, I prefer to call it being frugal and organized for optimum benefit. This sounds much nicer than the others.

ali

dotcomdtcm

You can add postage to your receipt.