IRS Required Documentation

Documents Required for the IRS

Property worth $500 or less: You must justify the deduction with the receipt provided by My Recovery Day. The receipt should include the donor’s name, address, date, and a list of items donated. Property worth more than $500, but not more than $5,000: In addition to the receipt provided by Goodwill, you are required to complete IRS Form 8283, “Non-Cash Charitable Contribution.” This form will contain written records of how the property was acquired, and your cost basis if the property was held less than 12 months. Also, if you are claiming an item worth $500 or more, you must have the item appraised, and save the certificate of appraisal with the receipt in your tax records. Appraisals should be done before items are donated and payment of the appraisal is the responsibility of the donor. A single item valued at $5,000 or more, or several similar items donated in a single year whose value totals $5,000 or more: This donation must be appraised before the donation is made, and the appraisal must be obtained by the donor. The value of the donation can also be supported by what price it sells for online.  If we feel you item can be sold on eBay or another online auction platform to maximize your deduction, then we will list it and document that sale for you.