Individual Gifts

Gifts-in-kind require special processing to ensure that tax regulations are satisfied and that the gift is properly recorded in the University’s financial statements. National University of Health Sciences adheres to generally recognized procedures for processing such gifts. These include:

1) Before a gift-in-kind can be accepted by the University, the University must ascertain that the type of gift is consistent with the mission and purposes of the institution. If the gift is not directly needed by the institution, the property must be readily marketable and the donor should understand that the gift might be disposed in this manner. The potential benefit of any gift must be greater than its potential cost to the University. Consideration will be given to the cost of acceptance of the gift (shipping and handling charges), the long term viability of the gift (maintenance, storage, insurance, etc.), and resale marketability.

2) The University will provide a letter of acknowledgement for the gift-in-kind donation but does not assign a value on the donation.

3) Any gift-in-kind with a value exceeding $100 but less than $5,000 will be recorded in the University’s development record software system at $1, unless independent verification of the fair market value of the gift is provided.

4) Current IRS regulations require a donor to file a Form 8283 for all non-cash gifts of $500 or more. At the request of the donor, Section B, Part I of Form 8283 will be signed by a corporate officer of the University or other agent of the University authorized to sign IRS forms. The form must be properly completed by the donor before submission to the University for signature. If the value of the gift is $5,000 or more, then the IRS requires an independent appraisal. This appraisal cannot be done by the University and the costs of the appraisal are the responsibility of the donor. For these larger gifts, the IRS form must be signed by the donor (Part II) and by the independent appraiser (Part III) prior to submission of the form to the University. After the approved agent of the University signs Part IV of Form 8283 it will be returned to the donor. It is important that the donor attach the completed Form 8283 to his or her tax return to avoid having the deduction disallowed. (Download IRS Form 8283.)

5) If the University disposes of a non-cash gift valued in excess of $5,000 within two years of the donation, it must report the disposition to the donor and IRS on Form 8282.