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Any business expense on developing software for your business is 100% deductible already. Channeling it through a charitable organization would just add complex
by mseebach 12y ago
Any business expense on developing software for your business is 100% deductible already. Channeling it through a charitable organization would just add complexity, not save any money in taxes.
Also, if the arrangement did create some tax savings, your profits would now be stuck in a non-for-profit organization which is probably not what you wanted.
> someone like IBM putting all their consultants into a 503(c) and taking all their consulting revenue as donations.
If you provide goods and services in exchange for a charitable donation, the value of these must be subtracted from the value of the donations, negating any benefits from that arrangement.