ILLMAS Posted November 2, 2010 Report Share Posted November 2, 2010 A school wants to give $25 gifts card to its student, there are about about 100 students, $25 to the student isn't much, but to the school, they rather not give out the $25 if it requires a gift tax return which I don't think is needed, or if there is threshold amount on gifts the IRS might have. Does somebody know where I can get information on this, I checked the IRS website but what I found is more like giving someone a large amount of money or a house. Thanks FYI school is not reconsidered a NFP, files a 1120S Quote Link to comment Share on other sites More sharing options...
jainen Posted November 3, 2010 Report Share Posted November 3, 2010 >>they rather not give out the $25 if it requires a gift tax return<< Assuming there is a business purpose to the gifts (which seems to me almost but not quite self-evident), they can deduct up to $25 per recipient per year. Quote Link to comment Share on other sites More sharing options...
mcb39 Posted November 3, 2010 Report Share Posted November 3, 2010 I was going to give that same answer. Actually, from what I read, if it is a "business purpose", it could be up to $75 per person without documentation. Quote Link to comment Share on other sites More sharing options...
ILLMAS Posted November 3, 2010 Author Report Share Posted November 3, 2010 Great can you point me to where you read that, that is what I need. Thank you MAS Quote Link to comment Share on other sites More sharing options...
TAXBILLY Posted November 3, 2010 Report Share Posted November 3, 2010 http://www.irs.gov/pub/irs-pdf/p463.pdf taxbilly Quote Link to comment Share on other sites More sharing options...
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