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Rev. Rul. 70-519


Rev. Rul. 70-519; 1970-2 C.B. 62

DATED
DOCUMENT ATTRIBUTES
  • Cross-Reference

    26 CFR 1.170-1: Charitable, etc. contributions and gifts; allowance

    of deduction.

  • Code Sections
  • Language
    English
  • Tax Analysts Electronic Citation
    not available
Citations: Rev. Rul. 70-519; 1970-2 C.B. 62
Rev. Rul. 70-519

Advice has been requested whether the out-of-pocket expenses described below are deductible by volunteer workers as charitable contributions under section 170 of the Internal Revenue Code of 1954.

An organization was formed to help reduce juvenile delinquency by providing individual guidance in sound character development for boys who lack wholesome adult male companionship and who reflect such deprivation in behavior pointing towards delinquency. The organization endeavors to help such boys who lack the influence of mature and responsible men to reach their highest physical, mental, emotional, and spiritual development.

To meet these goals the organization recruits and accepts male volunteers who can bring something positive and meaningful into the lives of boys. A volunteer works directly with a boy selected by the organization and participates with him in many social and recreational activities. In so doing the volunteer often incurs out-of-pocket expenses for himself and the boy for items such as admission costs and meals.

The organization has been held exempt from Federal income tax under section 501(a) of the Code as an organization described in section 501(c)(3), and meets all the requirements for exemption under that section of the Code. Contributions to it have been held deductible under section 170(a) of the Code.

Contributions made directly to individuals, no matter how deserving, are not deductible as charitable contributions under section 170 of the Code, and contributions or gifts made to organizations qualifying under section 170 of the Code are not deductible if they are made for the benefit of individual beneficiaries designated by the donor.

However, the volunteer working with a boy in the instant situation is aiding the organization in carrying out its charitable activities and in no event does the volunteer select the particular boy to be benefited.

Accordingly, reasonable unreimbursed out-of-pocket expenses incurred by a volunteer for the selected boys participating in such activities as swimming, attending movies, going out to dinner, fishing and the like are contributions or gifts for the use of the organization within the meaning of section 170 of the Code, and are deductible in the manner and to the extent provided by such section in computing taxable income. However, the portion of expenses attributable to the admission tickets or similar expenses of the volunteer, as contrasted with the boy's expense, is not deductible since the volunteer is receiving a benefit or privilege for this portion of the expense.

DOCUMENT ATTRIBUTES
  • Cross-Reference

    26 CFR 1.170-1: Charitable, etc. contributions and gifts; allowance

    of deduction.

  • Code Sections
  • Language
    English
  • Tax Analysts Electronic Citation
    not available
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