Southern Arizona Land Trust, Inc. (“SALT”) is a non-profit 501(c)(3) organization and its operating budget is based on rents received from its affordable housing inventory. However, these rents do not satisfy all of our operating expenses and certainly do not allow SALT to aggressively address Tucson’s affordable housing problem. Therefore, charitable donations are very important to SALT’s mission. Because of SALT’s need for donations, it is important for SALT to communicate to its supporters how it handles such donations and to create a consistent organizational approach and practice regarding this vital part of its mission.
- Donations are solicited in a respectful manner and without pressure.
- Donor designated restrictions on contributions shall be honored to the fullest extent possible so long as they are consistent with SALT’s mission.
- SALT is a non-profit 501(c)(3) organization and contributions made to the organization are tax deductible to the fullest extent allowed by law.
- SALT has also been approved as a charitable organization by the Arizona Department of Revenue and all donations to SALT are eligible for the Arizona Charitable Tax Credit.
- Upon request, written tax receipts will be issued for all donations. If the donor receives anything in exchange for their donation or if the donation was part sale and part gift, the tax receipt shall clearly state what amount or portion of the donation is tax deductible.
Gift Acceptance Policy
Gifts to SALT may be made in any amount for the benefit of SALT’s general purpose. Gifts may also be designated for a specific program or purpose. Gifts may also be unrestricted in which case they will be disbursed to the area of greatest need at the sole discretion of the SALT’s Executive Director.
- Gifts of Cash. SALT will accept gifts of cash, checks, money orders and payments via credit or debit card.
- Marketable Securities. SALT will accept gifts of publicly traded securities, stocks and bonds. Gifts of stock will be valued at the average of the high and low trading prices for the day the stock transfers into the control of SALT. Stock that is held electronically with a brokerage firm may be electronically transferred to SALT’s brokerage account by first calling SALT’s Executive Director at 520.352.2626 in order to receive specific instructions for such a transfer. To donate stock that is held in certificate form, SALT must be notified in advance so that specific instructions can be provided to the donor.
- Stock in privately owned companies. To be acceptable by SALT, stock in privately owned companies must have a qualified appraisal performed by an independent professional appraiser and the appraiser report must accompany such stock when given to SALT. Prior to approval and acceptance of such a gift, such gifts must first be reviewed by SALT’s Executive Director and its Management Committee in conjunction with SALT’s legal counsel. If immediately marketable, the stock in privately owned companies will be sold. If such stock is not immediately marketable, they will be kept in a secure facility such as a bank or other financial institution until such time when they can be redeemed, sold or liquidated.
- Stock in Subchapter S corporations. To be accepted, such stocks must have a qualified appraisal performed by an independent professional appraiser. Prior to approval and acceptance of such a gift, such gifts must first be reviewed by SALT’s Executive Director and its Management Committee in conjunction with SALT’s legal counsel.
- Real Estate. Gifts of real estate may be accepted by SALT. Due to the nature of SALT’s operations as a affordable housing developer and a land bank, sch donations to SALT are encouraged. However, SALT will review each property prior to accepting it as a donation. SALT’s review of gifts of real estate shall include, but not be limited to, legality, title, encumbrances, liens, mortgages, easements, restrictions, and environmental issues. SALT may hold the property long term in its land bank or sell the property on the open market and direct the proceeds of the sale to its mission.
- Tangible personal property. In order for gifts of tangible personal property to be accepted by SALT, the property must be saleable and the donor must agree that the property can be sold unless SALT agrees to use the property for a purpose related to the exempt purpose of the organization. At least one qualified appraisal by an independent professional appraiser is required and such appraisal must be shared with SALT prior to any SALT decision to accept such a gift of tangible personal property. SALT reserves the right to refuse any donations of tangible personal property for any reason.
- Appraisals. In any of the cases where an appraisal is required, it is the sole responsibility of the donor to obtain and pay for competent appraisal services and to share the results of such appraisal with SALT.
- Substantiation. It shall be the responsibility and legal obligation of the donor to seek and obtain advice from his or her professional financial advisors, to substantiate any tax deductions, and to comply with IRS regulations and policies, including the filing of IRS Form 8283.
- Donation Agreements. Where appropriate and advisable by legal counsel, SALT may enter into a written donation agreement with a donor which shall specify the terms of any restricted gift, which may include provisions regarding donor recognition as well as SALT’s plans for the intended use of the donated property.
- Pledge Agreements. SALT’s acceptance of pledges of future support (including by way of matching gift commitments) shall be contingent upon the execution and fulfillment of a written Charitable Pledge Agreement, on a form supplied by SALT, which shall specify the terms and conditions of the pledge including any provisions regarding donor recognition.
- Fees. The donor is responsible for (a) the fees of independent legal counsel retained by donor for completing a gift to SALT; (b) any appraisal and appraisal report fees; (c) the cost of any environmental assessments, audits and reviews; (d) any title searches, reports, insurance or binders (in the case of real property); and (e) all other third-party costs and fees associated with the transfer of the gift to SALT.
- Valuation of Gifts. SALT will record gifts received at their valuation on the date of gift, except that, when a gift is irrevocable, but is not due until a future date, the gift may be recorded at the time the gift becomes irrevocable in accordance with GAAP.
- IRS Filings upon Sale of Gifts. To the extent applicable, SALT will file IRS Form 8282 upon the sale or disposition of any charitable deduction property sold within three (3) years of receipt by SALT. “Charitable deduction property” means any donated property (other than money and publicly traded securities) if the value claimed by the donor exceeds $5,000 per item or group of similar items donated by the donor to one or more donee organizations. SALT shall file this form within 125 days of the date of sale or disposition of the asset in accordance with applicable IRS rules and regulations.
- Written Acknowledgement. SALT shall provide written acknowledgement of all gifts made to SALT and comply with the current IRS requirements in acknowledgement of the gifts.
Changes to or Deviations from the Policy. This Policy has been reviewed and accepted by the SALT’s Executive Director, which has the sole authority and discretion to change this Policy. In addition, the Executive Director must approve in writing any deviations from this Policy.