Patriot Software Advisor

Should contribution receipt be issued to the name of the individual or the name of the business?

by Phil

We have several people in our congregation that give their weekly tithe/offering with a check issued from the name of their small business instead of from a personal account.

Historically, the contribution has been recorded under the name of the individual, not the name of the small business (and therefore the contribution statement has been issued to the individual, not the small business.)

Is this ok? Or should the contribution be recorded under the name on the check (aka the small business), and the contribution statement made out to the small business?

Thanks for any clarification you can provide!

Comments for Should contribution receipt be issued to the name of the individual or the name of the business?

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Oct 10, 2013
Receipt to individual or business?
by: Anonymous in NC

Since the donors check is on the business' checking account, the church should issue the receipt in the name of the business. Business owners are required by proper accounting procedures (the business entity principle)to keep personal checking accounts and business checking accounts separate. Issuing the receipt to the individual could tempt the individual to claim the deduction twice for tax purposes.

Dec 11, 2013
What about checks from a Trust Fund?
by: Phil in USA

That makes a lot of sense about the personal account vs. a business checking account. Thanks!

Another scenario we have run into is that one of our members had her husband pass away. Her tithe/offerings now come from a checking account from a Trust fund with her husband's name on it. (For example, "John Doe Trust") How should those donations be recorded for the tax receipt? Should we issue the tax receipt to the woman giving the money (Jane Doe)? Or should it be issued in the name of a Trust (John Doe Trust)?

I don't fully understand the rules around that. Thanks for any help you can provide!

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