<oprah.chopra[at]gmail.com> wrote
- quote -



Get your mind straight. You have a sponsorship expense, which most likely
rises to the level of advertising for most of what you pay. Some of what
you get from your sponsorship might be considered for "personal use" and
therefore non-deductible. More facts are necessary to determine how much
you get to deduct as a business expense.



- quote -


It's not a "donation" it's a purchase of a sponsorship spot, which generally
is inclusive of advertising for the business. Your business name and logo,
etc are listed some place - right? So some part of what you spend is
advertising if you get advertising from them in some form.

If all you get is some tickets and a tee shirt, then maybe not so much of
that can be claimed as advertising for the business. But if you get a
banner hung up on the fence,




- quote -


Advertising is always deductible.

Now, there have been times when this was taken too far, as when the business
"sponsored" the owner's drag racing activities (sponsorship deducted as
advertising), and that deduction was challenged by the IRS, and the taxpayer
won (I believe) in court as he proved that the advertising was directed at
his clients and potential clients.




Donchaknow that Allstate deducted their sponsorship of the BCS games.





--
Paul A. Thomas, CPA
Athens, Georgia

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I have my own business and also like playing tennis. There is an
upcoming tournament for which I would like to donate some money for
as a sponsor.

If I donate the money from my business, is it tax-deductible?
Since the expense is not related to my business, I thought it may not
be deductible..

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >