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You would take the value FMV of the product... such as this is a medical device and get a valuation of it. The tax value = the FMV (FAIR MARKET VALUE)
My question is, how are trying to tax the product?
is it's a medical deduction
We donated my deceased father's cochlear implant and they gave us a letter saying we did such but said we needed a tax advisor to tell us how much to claim?
It was less than two years old
Ahh, I see, you would be safe a 50% value
Im just nervous about it because the cost new was $4K so you're saying we could claim $2K?
Just be sure to have some pricing for new ones in your file as research
yes, you are okay
Can I ask how you came up with 50%?
The Research is what can save you... if you have documents to show that they are 4,000
is that because of how new it was? I.E. less than 2 years old
It's the depreciated value
Did you donate to a specific charity?
We donated it to the place that installed it
University of Colorado
Then schools fall under the 50% catagory for public
Sorry to belabor the point but does 2 years use follow a general depriciation scale
Are you using a tax software?
It's the institution that you donate to that dictates the tax deduction
its deductible wants to find it on ebay and they don't sell the implants on ebay. only accessories
When you are on your Sched A on Turbo Tax, you can click on the amount under churches, schools etc...
yes, I don't think you can find that on ebay
that would be something
OK. Yeah its not your avg donation.
but they're so dang expensive and he barely had it before he died that we figured some needy person could use it.
but anyway because it's only two years old and not 10, it's worth 50%
Thanks for your help. I'll find the reciepts and claim 50% of the value.
You still have the bill when you purchased it?
I'm sure my mom has them
yes, find that receipt.
just file it
no need to prove it
ok. Anything else you can think of
Turbo Tax has a Audit Protection Program you may want to use to if you worry
it's a peace of mind that will be best
IRS knows that you just can't find it on Ebay or some Classified... the receipt would be good enough and reducing it by 50% keeps you in the safe zone, if you go 80%, it may raise a RED flag.
ok. thanks so much for your help!
Referring to a Medical Product.
You are very welcome