Question: Donation Receipts

We are planning a bingo fundraiser and are asking local businesses for monetary donations to purchase supplies, baskets, bags, etc. We will acknowledge sponsors by listing their name on a flyer at the bingo and also saying "this basket was donated by xyz." Are we required to give a receipt for donation? Can the business deduct the donation if we are acknowledging them at the bingo? Does it matter? Thank you! We are 501c nonprofit.

Asked by de233



Community Advice

Parttimeparli writes:
The business can deduct the donation if you are a non-profit and supply them with a receipt. Whether you acknowledge them in your flyer or not, they can deduct the cost if you furnish them with a receipt. Why not ask them to donate their own filled basket? I would worry that someone might drop the ball and that the donors would not be happy with what you put in a basket with their name on it.
BEWARE that all states consider Bingo gambling and might require a gaming license to play even if its for a nonprofit. You might even be required to purchase Bingo cards/supplies from the state gaming board.

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