Gift tax issues for supporting a candidate — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Gift tax issues for supporting a candidate

Get PDF file

by on
in Small Business Tax

Q. I’m planning to contribute to a political candidate’s campaign this year. Do I have to report my gift to the IRS? J.A., Monterey, Calif.

A. No. Political contributions are not considered “gifts” that must be reported on Form 709. So, you won’t suffer any adverse tax consequences related to your contribution. On the other hand, you won’t be able to deduct any contributions to a political candidate or party, either. It’s a non-event as far as taxes are concerned. Tip: The same rules generally apply to a business entity. Businesses can deduct lobbying expenses only under very limited circumstances.

Related Articles...

Leave a Comment


Previous post:

Next post: