501(c)3 income
If an individual gives funds directly to a LLC, and then the LLC gives 100% of those funds to a 501(c)3 on behalf of the individual the same year, can the individual use his/her gift as a tax deduction just like they gave it directly to a 501(c)3?
Asked on 5/21/09, 11:40 am
1 Answer from Attorneys
Patrick Crotty
Crotty & Smyth
Re: 501(c)3 income
If the individual is the 100% owner of the LLC, it is disregarded for tax purposes thus the individual may deduct the entire amount (subject to other limitations).
If the individual is less than 100% owner, he may deduct the portion of the contribution made by the LLC to the charity as set forth on the K-1 from the LLC
Hope this helps!
Answered on 5/24/09, 6:49 pm
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