University Advancementis responsible for overseeing the solicitation, acceptance and receipting of all private external tax deductible donations on campus. All student organization and clubs who want to engage in private external fund raising efforts must adhere to all University policies and procedures governing private external fundraising.
If a student club or organization is interested in doing external private fund raising they will first need to complete the CSI Event Registration Form, at least 10 business days prior to the event. The event will be provisionally registered, pending approval from the Office of Annual Giving. The club or organization representative will be directed to meet with The Director of Annual Giving in the Office of Annual Giving in U-SU 102 and will need to complete the Student Clubs and Organization External Private Fundraising Approval Form.
The Director of Annual Giving will need to review and approve all private external fund raising events and activities to make sure they met the educational-exemption criteria and to make sure all policies and procedures are followed.
The student club or organization representative will need to complete the Student Clubs and Organization External Private Fundraising Approval Form and get approval from The Office of Annual Giving which can be reached at 323-323-4865. All promotional materials will require approval prior to being printed or produced. If it is determined that your fund raising activity or event does not meet the “educational requirement” to be considered a IRS tax deductible fund raising program or event, then you will have to return to CSI and the U-SU to let them know that your event will be treated as a “proceeds to benefit” event.
Specific IRS Considerations
- Is it a gift? Donations must be made to a qualified organization and the fair market value of any good or services received by the donor reduce the charitable value.
- Contributions to social organizations (501 (C) (7)) are generally not tax deductible.
- Contributions designed to a student club must be for educational purposes to be tax deductible.
- Many student club activities are “proceeds to benefit” efforts: bake sales, t-shirt sales, dance-athons, and audience participation fees. They raise funds but are not charitable contributions.
- Charitable donations of $250.00 or more must be acknowledged by qualified recipient organization. (University Advancement is responsible for issuing these tax receipts made to U-SU, as the recipient organization.)
- Student clubs and organization who use their parent National Organization’s tax id for events or donations, will still need to report their activities as agency transaction under U-SU.
- Fundraising events with gross receipts of $5,000 or more must be reported on the auxiliary organization’s IRS 990 form.
- Raffles and gaming activities have registration requirement with Attorney General and local law enforcement agencies. (Our campus does not allow these activities for student Clubs and Organizations.)
- Donor intent must be honored.