Is a $500 building fund amount listed on a private elementary school tuition bill considered deductible as a charitable donation, if the school will still allow the child to attend even if the parent doesn't pay the $500? In contrast, if the _tuition_ were not paid, then the school would not allow the student to attend; thus it seems this $500 is not part of tuition. On the other hand, if the child were not attending the school, the school would not send to the parent a bill requesting $500. So is the parent receiving a benefit from the $500 given to the school, thus making the $500 non-deductible? Thanks.
charitable deduction for building fund at private elementary school?
Jan 13, 2010
4 Replies
Yes, assuming that (a) it's really true that the building fund donation is not required to attend (i.e., you could cross out that line on the bill and not pay it, and there would be no repercussions), and (b) the school is recognized as a legitimate 501(c)3 charity by the IRS.
If, indeed, there are no repercussions for not paying, then it's not a fee; rather, it's a high-pressure request for a donation ;-).
No, since someone without a child at the school could make a $500 donation to the building fund and would receive nothing in return.
As long as the amount is not tuition and is NOT required to attend the school, it should be deductible as a charitable donation.
Doesn't the school have to satisfy certain conditions as well? If one homeschools kids, then one's home is organized for an educational purpose, but I don't think donations to that person will qualify as a deduction.
Don't forget there also must be written confirmation from the school for any donation over 250 dollars. It might help if that confirmation stated that this donation was not a requirement for attendance.
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