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Subject:  Re: Can Dues Be a Charitable Contribution? Date:  10/23/2012  9:26 AM
Author:  irasmilo Number:  116830 of 127973

I'm looking for some guidance to answer a question I was asked the other day.

I handle the contributions for a small choral group to which I belong, a 501(c)(3) organization to which contributions are tax deductible. I record the donation, send the requisite "no goods or services..." letter to the donor, then send the check to the treasurer to record and deposit.

Last year, we started asking for dues from singers to defray costs. If someone cannot afford the dues, they are not required to pay. Can these dues be considered a tax-deductibe charitable contribution to the organization? I can see the answer both ways.

Thanks for any insights you can provide.

I realize that you are asking a tax question, but you may have a larger legal issue. Check your state law to determine whether collecting dues confers the right to control the actions of the organization.

Dues paid to a charitable organization are deductible contributions to the extent that the dues paid exceed the value of benefits received.

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