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Give And Take

Donating to certain causes may allow you to deduct more than you contribute.

This story appears in the December 1996 issue of Entrepreneur. Subscribe »

It's the holiday season, and once again it seems as if everyone's got their hands out. Just think of those legions of Santas ringing their bells and collecting cash in big red pots. Then think of the IRS' rather tiresome decree that a canceled check isn't good enough as a receipt for a charitable donation. It's enough to make even the most generous turn into Scrooge.

While individual tax rules seem uncharitable, the rules for corporations are another story. Give away inventory, and the IRS will actually encourage those charitable thoughts of yours.

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