How many jobs did the greedy capitalist cut to get the money to buy stuff off the needy?

Mazzic518: Harry_Seldon: How many jobs did the greedy capitalist cut to get the money to buy stuff off the needy?

He runs a pawn shop tard


and he bought for them not from them........tard.

Just wait until Mittens is elected, he'll have anti-capitalist bastards like this thrown in jail.

TheGreatGazoo: Coby TVs and blue lights for all?

Not to mention 300 copies of the Kenny Loggins Christmas album, 500 pairs of sub-par jeans, 45 copies of Anubis II for the Wii and 600 copies of the Straight Up single by Paula Abdul.

An evil businessman doing something nice and charitable?

Wait until Obama finds out.

Fissile: Just wait until Mittens is elected, he'll have anti-capitalist bastards like this thrown in jail.

1/10. Spittle did not reach protective glass.

Damn is it dusty in here...

/Yeah, I know--Kmart stuff
//Still, the guy has a heart

Tax write-off.

Think how much more good he could do if he gave that money back to the Government.

Mazzic518: My local news said it was $20,000

200k was the retail value. 20k which is what he spent, which is what you'd expect for an about to shut down store that's already had a clearance for the customers. It's very customary for a single person/business to buy what's left of a store after a closing sale for both businesses and estates but just about all do it make a buck reselling it.

Spirit Hammer: Think how much more good he could do if he gave that money back to the Government.

Au contraire, mom frere! This prove that we should eliminate all taxes and government services, since the generous rich will solve all social problems with charity and invisible hands!
Preferably faith-based!
Best part....forever!

Grobbley: Tax write-off.

There's always a catch.

$20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I went into a k-mart seasonal room last winter and they had at least 150 feet of deep shelf space stocked with bean bag filler. It's not even like in the 70s when if you were poor, you could pop your bean bag and eat for months.

qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I know next to nothing about taxes but is that really how it works? You get the writeoff on the value of the items and not on the amount of money spent? That just seems wrong but so do many things involving tax law.....

'Excuse me sir, I'd like to buy all these toys for some needy children. Is this enough dirty, dirty money?'

'Why yes!'

Nice to see people helping the poor in THIS country for once. Clooney/Gates/Jolie/Pitt etc all worry about helping other farking people before our own.

hbk72777: Nice to see people helping the poor in THIS country for once. Clooney/Gates/Jolie/Pitt etc all worry about helping other farking people before our own.


Thanks for showing everyone you don't have a clue what they do.

He loses money of every deal but makes it up in volume.

Big Deal, the government could do the same thing and also rent out a bunch of rooms in Vegas and throw a great party for only 780k more.

Stupd.
Just give the charity a check.

Grobbley: Tax write-off.

qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I know it's hard to believe, but you really don't get to claim the MSRP as the value of goods you donate. You have to use "fair market value." Since he donated the goods immediately upon acquisition, he should be able to use the price he paid as the basis for the deduction. If he had held onto the goods and claimed that they were worth more later, he could go through with an appraisal, but the rules essentially limit his tax deduction based on his 'basis' (the amount he paid) anyway.

And while it's probably common enough for people to cheat small deductions, a donation valued at over $5,000 has special rules that would make it quite a bit tougher.

http://www.irs.gov/publications/p526/ index.html

I just think it sucks that Kmart will be completely gone within the next few years.

Avery614: I know next to nothing about taxes but is that really how it works? You get the writeoff on the value of the items and not on the amount of money spent? That just seems wrong but so do many things involving tax law.....

Short answer is no, that's not how it works.

URAPNIS: I just think it sucks that Kmart will be completely gone within the next few years.

Why?

JadedRaverLA: qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I know it's hard to believe, but you really don't get to claim the MSRP as the value of goods you donate. You have to use "fair market value." Since he donated the goods immediately upon acquisition, he should be able to use the price he paid as the basis for the deduction. If he had held onto the goods and claimed that they were worth more later, he could go through with an appraisal, but the rules essentially limit his tax deduction based on his 'basis' (the amount he paid) anyway.

And while it's probably common enough for people to cheat small deductions, a donation valued at over $5,000 has special rules that would make it quite a bit tougher.

http://www.irs.gov/publications/p526/ index.html

Fair market value is what he can claim. That does not equal what he paid for it. I used to work for Intuit the year they bought the Deduct It software. With all the online databases out there such as EBay, Amazon, etc it is trivial to come up with a fair market value for just about anything. The IRS pretty much takes the value the Deduct It spits out as golden.

You have a shirt you want give to the Salvation Army? It more than likely is worth more than you think and most people under value their deductions.

ModernLuddite: URAPNIS: I just think it sucks that Kmart will be completely gone within the next few years.

Why?

Why will they be gone or why do I think it sucks?

JadedRaverLA: qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I know it's hard to believe, but you really don't get to claim the MSRP as the value of goods you donate. You have to use "fair market value." Since he donated the goods immediately upon acquisition, he should be able to use the price he paid as the basis for the deduction. If he had held onto the goods and claimed that they were worth more later, he could go through with an appraisal, but the rules essentially limit his tax deduction based on his 'basis' (the amount he paid) anyway.

And while it's probably common enough for people to cheat small deductions, a donation valued at over $5,000 has special rules that would make it quite a bit tougher.

http://www.irs.gov/publications/p526/ index.html

You are correct in all respects and I thank you for your post.

On the other hand, if he put it on the right card he'll be enjoying a sweet, sweet first-class upgrade next time he and his fly to Vegas.

/a well-deserved sweet, sweet upgrade.

Silverstaff: qwave54: /Tahiti is not in Europe

Excuse me. When you get the box, give us geography lessons. Until then, this man goes to Tahiti

/Setec Astronomy

Too many secrets!

hbk72777: Nice to see people helping the poor in THIS country for once. Clooney/Gates/Jolie/Pitt etc all worry about helping other farking people before our own.

Xenophobia and other realities aside, you might want to research your talking points. All those people listed have US charities.

hbk72777: Nice to see people helping the poor in THIS country for once. Clooney/Gates/Jolie/Pitt etc all worry about helping other farking people before our own.

Brilliance, and access to the interwebs.... how refreshing.

/ Here's your sign!

I used to enjoy running blue light specials when I worked at Kmart as a wee lad.

You could feel the excitement when I started rolling the blue light across the store to where I was having the sale, while wearing the ribbons of reduced price stickers around my neck. Sometimes I'd have a crowd of people following me by the time I got the light situated.

Benjimin_Dover: JadedRaverLA: qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I know it's hard to believe, but you really don't get to claim the MSRP as the value of goods you donate. You have to use "fair market value." Since he donated the goods immediately upon acquisition, he should be able to use the price he paid as the basis for the deduction. If he had held onto the goods and claimed that they were worth more later, he could go through with an appraisal, but the rules essentially limit his tax deduction based on his 'basis' (the amount he paid) anyway.

And while it's probably common enough for people to cheat small deductions, a donation valued at over $5,000 has special rules that would make it quite a bit tougher.

http://www.irs.gov/publications/p526/ index.html

Fair market value is what he can claim. That does not equal what he paid for it. I used to work for Intuit the year they bought the Deduct It software. With all the online databases out there such as EBay, Amazon, etc it is trivial to come up with a fair market value for just about anything. The IRS pretty much takes the value the Deduct It spits out as golden.

You have a shirt you want give to the Salvation Army? It more than likely is worth more than you think and most people under value their deductions.

If all you donate is one shirt, you can get away with overvaluing it fairly easily. A single donation made after a single large purchase like this is treated as a single $5,000 + donation, and the IRS most definitely DOES NOT give a fark what your software says each and every individual item is worth.

They will very much care what your receipt says you paid for those donated goods. I linked to the official IRS page above, that describes what is truly legal and what isn't -- as well as what they require for valuation on $5,000+ non-cash donations.

And again, if you somehow got away with claiming that your donation increased in value, what you paid is still your 'basis' for the donation (again not something they're going to get into with a smaller donation), and you are going to be limited in your deduction.

hbk72777: Nice to see people helping the poor in THIS country for once. Clooney/Gates/Jolie/Pitt etc all worry about helping other farking people before our own.

Really, are the people in New Orleans not our own, or is it more likely that you're just a dick?

Occam says....

You're a dick.

I worked at this KMart a decade or so ago, so I'm really getting a kick...

JadedRaverLA: Benjimin_Dover: JadedRaverLA: qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

I know it's hard to believe, but you really don't get to claim the MSRP as the value of goods you donate. You have to use "fair market value." Since he donated the goods immediately upon acquisition, he should be able to use the price he paid as the basis for the deduction. If he had held onto the goods and claimed that they were worth more later, he could go through with an appraisal, but the rules essentially limit his tax deduction based on his 'basis' (the amount he paid) anyway.

And while it's probably common enough for people to cheat small deductions, a donation valued at over $5,000 has special rules that would make it quite a bit tougher.

http://www.irs.gov/publications/p526/ index.html

Fair market value is what he can claim. That does not equal what he paid for it. I used to work for Intuit the year they bought the Deduct It software. With all the online databases out there such as EBay, Amazon, etc it is trivial to come up with a fair market value for just about anything. The IRS pretty much takes the value the Deduct It spits out as golden.

You have a shirt you want give to the Salvation Army? It more than likely is worth more than you think and most people under value their deductions.

If all you donate is one shirt, you can get away with overvaluing it fairly easily. A single donation made after a single large purchase like this is treated as a single $5,000 + donation, and the IRS most definitely DOES NOT give a fark what your software says each and every individual item is worth.

They will very much care what your receipt says you paid for those donated goods. I linked to the official IRS page above, that describes what is truly legal and what isn't -- as well as what they require for valuation on $5,000+ non-cash donations.

And again, if you somehow got away with claiming that your donation increased in value, what you paid is still your 'basis' for the donation (again not something they're going to get into with a smaller donation), and you are going to be limited in your deduction.

I'm not certain what any Kmart has that is $5000 or more.

The IRS has no grounds to dispute fair market values backed up with thousands or documented sales of the same item around the country. This guy would simply list the items each with its FMV. Whether a person has 3 items or a 100, it is the same.

qwave54: $20,000 cash cost
$200,000 "retail value" donated to charity

~41% of $200,000 as tax writeoff = $82,000

So news and public see this as a generous and kind act, he sees it as yay free $60,000!

/Tahiti is not in Europe

French citizen=no passport required
Tahiti=Europe

Also
Aruba=equals Holland
Aruba=Europe

Benjimin_Dover: I'm not certain what any Kmart has that is $5000 or more.

The IRS has no grounds to dispute fair market values backed up with thousands or documented sales of the same item around the country. This guy would simply list the items each with its FMV. Whether a person has 3 items or a 100, it is the same.

No, it's really not.

From Pub 526:

Deductions Over $500 But Not Over $5,000

If you claim a deduction over $500 but not over $5,000 for a noncash charitable contribution, you must have the acknowledgment and written records described under Deductions of At Least $250 But Not More Than $500 . Your records must also include:

How you got the property, for example, by purchase, gift, bequest, inheritance, or exchange,

The approximate date you got the property or, if created, produced, or manufactured by or for you, the approximate date the property was substantially completed, and

The cost or other basis, and any adjustments to the basis, of property held less than 12 months and, if available, the cost or other basis of property held 12 months or more. This requirement, however, does not apply to publicly traded securities.


Deductions Over $5,000

If you claim a deduction of over $5,000 for a charitable contribution of one property item or a group of similar property items, you must have the acknowledgment and the written records described under Deductions Over $500 But Not Over $5,000 . In figuring whether your deduction is over $5,000, combine your claimed deductions for all similar items donated to any charitable organization during the year.

Generally, you must also obtain a qualified written appraisal of the donated property from a qualified appraiser. See Deductions of More Than $5,000 in Publication 561 for more information.

And just for fun, from Intuit:

If you have owned the property more than a year, you can deduct its full fair market value and escape income tax on the appreciation. It pays to keep that property the full 12 months before giving it away: For property held one year or less, IRS only allows you to claim a deduction on the price you paid for it.

And Intuit's software does absolutely prevent you from using DeductIt to value individual items over $500 or similar items totaling over $5,000. It then demands to know the date of acquisition and the price paid. This becomes your cost basis, and unless you held the donated items for over a year, you are limited to that cost basis. If you've held the items for over a year, you are allowed to use the fair market value as determined by the appraiser, but the appraiser has to justify any excessive increase in value from your cost basis -- which they really can't do with clothing and household goods that lose value over time.

JadedRaverLA: And Intuit's software does absolutely prevent you from using DeductIt to value individual items over $500 or similar items totaling over $5,000. It then demands to know the date of acquisition and the price paid. This becomes your cost basis, and unless you held the donated items for over a year, you are limited to that cost basis. If you've held the items for over a year, you are allowed to use the fair market value as determined by the appraiser, but the appraiser has to justify any excessive increase in value from your cost basis -- which they really can't do with clothing and household goods that lose value over time.

Excellent cites.