[sp95]

Happy Friday!!!

I have a new question for everyone!

Let me set up the scenario...

Mr. and Mrs. ABC have been donors for a few years one day Mr. ABC decides that he is going to start a Foundation. We then start receiving checks that say Mr. and Mrs. ABC FOUNDATION on the check. Would you keep M/M ABC's donations as individuals together or seperate from the Foundation donations?

IMO, I feel that these should all be seperate records. M/M ABC as an individual record and then an organization listed as M/M ABC FOUNDATION . I'm sure their accountants would appreciate everything being seperate.

What do you all think?

[Anne Marie]

Definitely separate. Different entities entirely.

[Nina Williams]

We have separate records. However, if the check comes from the family foundation we soft credit the individual. Gifts should always be entered on a record that matches that check so soft crediting links the gift to the individual.

[sp95]

Quote:

Originally Posted by Nina Williams

We have separate records. However, if the check comes from the family foundation we soft credit the individual. Gifts should always be entered on a record that matches that check so soft crediting links the gift to the individual.

Okay but what about for tax purposes? If Mrs. ABC decided to donate money on her own is softcrediting money from the Foundation the best thing to do?

[sp95]

Quote:

Originally Posted by Anne Marie

Definitely separate. Different entities entirely.

Okay. Thank you.

[Melissa Siobhan]

They are deifinitely different entities for tax purposes so you need to keep separate record and only issue a receipt to the legal donor (the other can be thanked but not receipted)

You can soft credit the individual for gifts made by the individual but you should be careful about paying pledges made by the individual with foundation money. I beleive this would be against IRS regs but you should ask your own auditors what they want you to do/not do.