You are able to take a deduction for the supplies that you use
in making charitable donations. You can also deduct the postage
for shipping the items, as well as the box, packing materials,
and sealing tape, and supplies for taking photos of the donations.
Another deduction that is commonly overlooked is the volunteer
mileage. Count the round trip to and from obtaining supplies,
to and from post office/shipping place, and to meetings. The
current mileage allowance is 14 cents per mile, unless you want
to track your actual expenses. Most people choose to track the
miles.
As far as recordkeeping, I recommend that you keep a copy of all
your receipts for the charitable supplies, along with a log of the
miles you have driven. If you are buying more supplies than just
for charity, it sometimes helps to have the charitable supplies
rung up as a separate purchase. It simplifies recordkeeping. And
the reason to keep a copy of the receipt is simple, many stores use
the thermal receipt tape which will turn illegible in time. A copy
will not.
If you have any further questions, please contact a tax professional
in your area, or visit the IRS website at www.irs.gov, or obtain
Publication 563 from the IRS for more information.
Posted on Jul 10, 2005, 12:36 AM from IP address 4.244.192.239