Donor Receipts: What a Charity Must Put in Writing
What a charity must give donors for gifts of $250 or more, the disclosure required when a donor gets something back, the penalties for getting it wrong, and the small-item exceptions.
Reviewed by the Fairlight Accounting cross-border tax team — U.S. & Canadian Tax Desks
A donor cannot deduct a single contribution of $250 or more without a written acknowledgment from the charity stating the amount (or describing noncash property) and whether goods or services were provided in return. When a donor pays more than $75 partly as a gift and partly for something received, the charity must state how much is deductible.
On this page
What must the acknowledgment say?
| Element | Requirement |
|---|---|
| Who | The organization's name |
| What | The amount of cash, or a description (not value) of noncash property |
| Goods or services | A statement that none were provided, or a description and good-faith estimate of their value; if only intangible religious benefits, a statement to that effect |
| When | The donor must have it by the earlier of the date they file the return or its due date (including extensions); year-end letters in January are the norm |
| Form | Letter, email, or receipt; one acknowledgment can cover multiple gifts if each is itemized |
The acknowledgment covers each contribution of $250 or more; separate $200 gifts do not combine to trigger it, though many charities acknowledge everything.
What is a quid pro quo disclosure?
When a donor's payment exceeds $75 and is partly for goods or services — a gala ticket with a $150 meal, a membership with benefits, an auction purchase — the charity must provide a written statement that the deductible amount is limited to the excess over the value received, with a good-faith estimate of that value. The statement goes in the solicitation or the receipt. The penalty for failing is $10 per contribution, up to $5,000 per fundraising event or mailing, unless the failure was due to reasonable cause.
What are the exceptions?
- Token items. For 2026, benefits are disregarded if the donor pays at least $69.50 and receives only items bearing the charity's name or logo that cost $13.90 or less in total, or if the benefits are worth no more than 2 percent of the payment or $139, whichever is less (2025: $68, $13.60, $136).
- Membership benefits that are annual recurring rights — free or discounted admission, gift-shop discounts, free parking — can be disregarded for annual memberships of $75 or less (a fixed amount, not indexed for inflation).
- Intangible religious benefits. Acknowledged by statement, not valued.
- Payments of $75 or less need no quid pro quo statement, though the deductible portion is still limited.
What about noncash gifts?
The acknowledgment describes the property; it never states a value. Donors claiming more than $500 of noncash gifts file Form 8283; gifts above $5,000 per item or group of similar items (other than publicly traded securities) require a qualified appraisal and the charity's signature on the form. Donated vehicles, boats, and planes claimed at more than $500 have their own rules and Form 1098-C. If the charity sells or otherwise disposes of property it signed for on Form 8283 within three years of receiving it, it files Form 8282 within 125 days, unless the donor valued the item at $500 or less.
Frequently asked questions
Can we send one year-end statement listing all gifts?
Yes, if it itemizes each contribution with the date and amount and includes the goods-or-services statement.
Do we have to value an auction item we received as a donation?
No; describe it. Value the item only for the buyer's quid pro quo statement at the auction.
What if a donor paid by payroll deduction?
The employer's pay stub plus the charity's pledge card stating no goods or services were provided satisfies the rule.
Are gifts to a crowdfunding page for our charity covered?
Yes, if the money comes to the charity; the platform's receipt may not meet the requirements, so the charity should issue its own.
Official sources
The IRS explains: “An organization must provide a written disclosure statement to a donor who makes a payment exceeding $75 partly as a contribution and partly for goods and services provided by the organization.” — Internal Revenue Service, Publication 1771, Charitable Contributions - Substantiation and Disclosure Requirements, https://www.irs.gov/pub/irs-pdf/p1771.pdf
The IRS explains: “The written acknowledgment required to substantiate a charitable contribution of $250 or more must contain the following information:” — Internal Revenue Service, Charitable contributions: Written acknowledgments, https://www.irs.gov/charities-non-profits/charitable-organizations/charitable-contributions-written-acknowledgments
Next step
Fairlight Accounting handles U.S. domestic, cross-border (U.S.–Canada), and international tax returns, plus bookkeeping, payroll, and CFO advisory. Our U.S. Tax Desk sets up acknowledgment templates and event disclosures so every donor's deduction holds. See pricing or book a free fit call.
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