Requirements for Tax-Deductible Donations
- All gifts made to National Community Church (NCC) “to and for the use of” NCC are tax-deductible. When donors give any single contribution over $250, they will receive instructions by January 31 of the following year on how to download an electronic report of their donations. These statements can be mailed upon request.
- In order for them to be tax-deductible, gifts made to the church may not be designated (in writing or verbally) unless the designation is for a pre-approved project or program of the church. By law, the church must exercise full administrative control of the donated funds in order for them to be tax-deductible to the donor.
- Contributions made to NCC but specifically designated to an individual are not tax-deductible. According to the 2016 Church & Clergy Tax Guide,“Contributions to an individual, however needed, are never deductible, since they can never be said to be ‘to and for the use of’ a charitable organization…The fact that the payment was made to a church is not controlling, since taxpayers cannot obtain a deduction by merely funneling a payment through a church.” Donations can still be made in this manner, but the donor will not receive a tax exemption for such gifts.
- In cases of pre-approved projects or programs of NCC that pertain to an individual, such as an offering for a guest that the church has brought in or sponsorship of a protégé, donations made are tax-deductible.