Charity deduction
Client donated "Time Share Points" to a qualified charity auction. Can the yearly maintenance fees for that portion of the points he gave up be taken as a charitable donation?
Client donated "Time Share Points" to a qualified charity auction. Can the yearly maintenance fees for that portion of the points he gave up be taken as a charitable donation?
I have a slightly different take on this. Your client's donation to the charity for the free use of timeshare points may constitute contribution of partial interest, which is specifically denied as a deduction under §170(f)(3). On that basis, maintenance fees attributable to those donated points may not be deductible on the return.
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