• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

Icon Systems

Simple to use. Power to grow.

  • (800) 596-4266
  • Free Trial
  • Blog
  • Features
  • Bookkeeping
  • Order
  • Pricing
  • Resources
  • Login
Here to help symbol. Magnifying glass with text 'help is here' on beautiful white background. Business and help is here concept, copy space.
Magnifying Glass
Get a free trial of IconCMO now!
30 days – No credit card required.

Donation Quiz

To start the quiz, click the blue ‘Start’ button below.

74
Created on December 30, 2020

Donation Recording Quiz

This quiz will test a person's knowledge on recording various types of donations.

Your results are for personal use and only available to you.

1 / 10

Category: GIK - Or Non-cash donations

Question:

For gift in kind donations (ie non cash donations) should the value of the gift of kind donation be found on the donor's statement?

According to IRS publication 1771, the value is never placed on the donor's statement - ie the written acknowledgment. This is the instructions about the information that should be on the donor's statement.
1. the name of organization
2. the amount of cash contribution,
3. a description (but not the value) of non-cash contribution,
4. a statement that no goods or services were provided by the organization in return for the
contribution, if that was the case,
5. a description and good faith estimate of the value of goods or services, if any, that an
organization provided in return for the contribution,
6. a statement that goods or services, if any, that an organization provided in return for the contribution consisted entirely of intangible religious benefits, if that was the case.

2 / 10

Category: Volunteer Time and Service

Question:

Can volunteers claim a tax deduction for their time and services provided to the church?

A volunteer can't deduct their time and services. However an attorney can ask for a GIK donation statement for things like travel expenses for the attorney to come and meet with your organization. Or say for all the cost of mailings to your organization. In other words the expenses have to be documented and not just a 'service' or 'time'. There are a lot of rules on this that the churches should review before giving out any donation statements to any volunteers.

3 / 10

Category: General Questions

Question:

The donor's total donations for the year are $550.50, does the church have to provide a written acknowledgement to the donor?

According to the IRS website donations that equal $250.00 or more need an written acknowledgement.

4 / 10

Category: General Questions

Question:

Which of the following statements is not used on a donor's statement?

There are three different statements that the church can used depending on the circumstances of the donations. When these statements are not made the IRS can disallow the donation. See the court case in 2012 that dealt with this issue -- David and Veronda Durden v. Comm’r, TC Memo 2012-140 May 17, 2012.

  1. “No goods or services were provided by the church in return for the contribution.” Or
  2. “Goods or services that the church provided in return for the contribution consisted entirely of intangible religious benefits.” Or
  3. “The amount of the contribution that is deductible for federal income tax purposes is limited to the excess of
    money (and the fair market value of any property other than money) contributed by the donor over the value of goods or services provided by the church.”

5 / 10

Category: GIK - Or Non-cash donations

Question:

When donating stock to the church that you have owned for more than one year, does the church record the value on the donor's statement? 

According to the IRS website, non cash donations are not to have their value placed on the statement. Another resource is:

IRS Publication 561.

6 / 10

Category: GIK - Or Non-cash donations

Question:

For gift in kind (non-cash) donations that are equal to or over $5,000.00, who determines the fair market value of the donation(s)? 

According to IRS publication 526, page 21, donations that are equal to or over $5,000.00, a paid professional appraiser must be used and their written appraisal must be included with the donor's tax return.

7 / 10

Category: GIK - Or Non-cash donations

Question:

For gift in kind (non-cash) donations under $5,000.00, who determines the fair market value of the donation(s)? 

According to IRS publication 526, page 21, the non cash donation under 5,000.00 can be figured out by the tax advisor (CPA) or the donor themselves. Once the donation is over 5,000.00 a paid professional appraiser must be used and their written appraisal must be included with the donor's tax return.

According to the IRS website a written acknowledgement is needed for a contribution over $250.00. The exact wording is "A donor claiming a deduction of $250 or more is also required to obtain and keep a contemporaneous written acknowledgment for a charitable contribution ." For a single donation under $250.00 the donor can provide their own records to prove the donation -- ie like bank records, credit card receipts. Or the church can provide the written acknowledgement but they are not mandatory to do so. Keep in mind if there are multiple donations that total to $250.00 or more, then the church must do a written acknowledgement of all the donations and the dates of them.

8 / 10

Category: General Questions

Question:

Does the church have to provide a written acknowledgement for a single donation under $250.00?

9 / 10

Category: GIK - Or Non-cash donations

Question:

What IRS form does the church have to fill out within 125 days, if they decide to sell or dispose of a non cash donation that is worth more than $5,000.00? 

The IRS form 8282 is to be filled out with 125 days of selling the property. The sold property has a three year limit on the reporting of it. Please review the form instructions for the 8282 to see all the requirements under the 'Who Must File' section.

10 / 10

Category: General Questions

Question:

The donor makes two donations of $260.00. Can the donor claim the deduction using their own bank records?

As stated in the IRS publication 1771, the church must send a written acknowledgement (donor statement) to the donor for any one time contribution over $250.00.

Enter your email and name then click the finish flag to see your results!

We will send you fun and infrequent information.

Your score is

LinkedIn Facebook VKontakte
0%

Exit

This quiz can be shared with others with the proper given attribution to the creator Icon Systems, commonly called the CC BY license.

Primary Sidebar

  • The Facebook icon button link
  • The Instagram icon button link
  • The X icon button link
  • The LinkedIn icon button link
  • The YouTube icon button link
  • The Wordpress icon button link
Icon Systems, Inc.
3330 Fiechtner Drive S Suite 204
Fargo, ND 58103
Hours: Mon-Thu 8-5, Fri 8-4 CT
About Us — Privacy — Support — Careers — Sitemap
Recent Blog Posts
  • Is an All-In-One Church Software the Best Option?
  • Church Donation Software - Do you Need It?
  • Text Messaging for Church Software!
  • Is Church Software Online A Better Solution?
  • The Best Church Software Is Compliant & User Friendly!
Sales
800-596-4266
sales@iconcmo.com
Tech Support
218-236-1899
support@iconcmo.com
Fax: 218-236-0235
© 1992 – 2025 Icon Systems, Inc.