Why documentation matters
The IRS requires taxpayers to substantiate charitable contributions before allowing deduction claims. Good documentation proves the amount, date, recipient, and whether you received goods or services in exchange. In my 15 years advising clients, the most common audit triggers are poorly documented noncash gifts and missing acknowledgments for donations of $250 or more.
Authoritative sources: IRS Publication 526 (Charitable Contributions), the IRS Charities & Non-Profits pages, and Form 8283 (Noncash Charitable Contributions) explain the specific substantiation rules and appraisal thresholds (IRS Publication 526: https://www.irs.gov/publications/p526; Form 8283: https://www.irs.gov/forms-pubs/about-form-8283; Tax Exempt Organization Search: https://www.irs.gov/charities-non-profits/tax-exempt-organization-search).
Minimum records the IRS expects
For most contributions you must keep one or more of the following depending on the type and size of the gift:
- Cash (including check, credit card or payroll deduction): a bank record (bank statement, cancelled check) or a written acknowledgment from the charity. Payroll-deduction contributions should appear on your pay stub or a statement from the employer. (IRS Pub 526)
- Written acknowledgment for any single contribution of $250 or more: the organization’s name, date, amount of cash and a description of any noncash property contributed, and a statement confirming whether any goods or services were provided in return and a description/estimate of their value. If only intangible religious benefits were received, the charity should state that. (IRS Pub 526)
- Noncash donations over $500: you must complete Form 8283 when you file your return. (Form 8283 instructions)
- Noncash donations where a single item or a group of similar items is valued over $5,000: generally requires a qualified appraisal and completion of Section B of Form 8283 (with some exceptions, e.g., publicly traded securities). (Form 8283; IRS appraisal rules)
- Vehicle, boat or airplane donations: special substantiation rules apply and the deduction may be limited to the amount the charity sells the item for or how it uses the item. The charity’s written acknowledgment must report the vehicle’s sale proceeds when applicable. (IRS Pub 526)
These thresholds and forms are current as of 2025 — always confirm with the IRS pages linked above before filing.
Practical recordkeeping checklist (what to keep and for how long)
In my practice I recommend keeping a dedicated folder (digital or physical) with these items:
- Donation log or spreadsheet with: date, charity EIN/name, amount or description of property, how donated (mail, drop-off, pickup), purpose/restriction (if any), and link to the receipt or acknowledgement.
- Bank records or credit card statements showing the contribution.
- Written acknowledgments for contributions $250+ (signed by the charity).
- Form 8283 for noncash gifts >$500 and any appraisal summary for items >$5,000.
- Photos and inventory of donated property (especially for multiple items or valuable collections).
- Appraisals and receipts for out-of-pocket expenses incurred while doing volunteer work (only unreimbursed, directly related expenses may be deductible; volunteer time is not deductible).
How long to keep records: generally keep records at least three years after filing the return to which they relate (the typical IRS statute of limitations). For complex gifts, especially those with appraisals or carryovers, you may want to retain records seven years or more. When in doubt, keep them until any tax issues are resolved.
Common documentation scenarios and how to handle them
Cash donations under $250
- Keep a bank or credit card record (or charity receipt). These are typically adequate substantiation.
Cash donations $250 or more
- Get a written acknowledgment from the charity that includes the required elements described earlier. Without that written statement you cannot claim the deduction.
Payroll-deduction giving
- Keep your employer’s pay records or a written statement showing the amounts withheld and donated. If the charity receives the gift directly from the employer and provides an acknowledgment, keep that too.
Gifts of clothing, household items and small noncash donations
- For clothing and household goods, the items must be in ‘good used condition or better’ to be deductible. Keep a list describing each item and the charity’s acknowledgment. If total noncash donations exceed $500 you must file Form 8283; if the claimed value of any single item (or a group of similar items) exceeds $5,000 you likely need a qualified appraisal. (IRS Pub 526)
High-value noncash gifts (art, collectibles, jewelry)
- Obtain a qualified appraisal and attach the appraisal summary to Form 8283. Make sure appraisers meet the IRS definition of a ‘qualified appraiser.’ Poor-quality appraisals are frequent audit targets.
Vehicle donations
- Ask the charity for a Form 1098-C or other written acknowledgment. If the charity sells the vehicle, the amount you can deduct may be limited to the sale price; if the charity uses the vehicle in a significant manner, you may be able to deduct fair market value. Always get the charity’s written substantiation.
Mistakes I see often (and how to avoid them)
- Counting retail purchase price as the deduction for used property: you must use fair market value at the time of donation, not what you paid.
- Failing to get a written acknowledgment for donations $250+: if the charity won’t provide it, you cannot claim the deduction.
- Misvaluing a collection or failing to obtain a required appraisal when an item or group exceeds $5,000.
- Relying on a generic thrift-store receipt that lacks a description of items, dates and values — use a detailed inventory and keep photos.
Strategies that help minimize documentation risk
- Bunch smaller gifts into one tax year if you itemize, and get acknowledgments for lump-sum donations.
- For high-value gifts consult a tax pro before gifting; pre-planning helps with appraisals and paperwork.
- Use electronic receipts and PDFs stored in a dedicated folder; they are acceptable if they meet recordkeeping requirements.
For more practical tips on documenting gifts for the largest deduction, see our guide: “How to Document Charitable Deductions for the IRS.” You can also review “How to Document Charitable Gifts for Maximum Deduction” for deeper examples and templates.
- How to Document Charitable Deductions for the IRS: https://finhelp.io/glossary/how-to-document-charitable-deductions-for-the-irs/
- How to Document Charitable Gifts for Maximum Deduction: https://finhelp.io/glossary/how-to-document-charitable-gifts-for-maximum-deduction/
When the IRS may ask for more
If the IRS questions a deduction, it commonly requests the written acknowledgments, bank records and Form 8283 where applicable. If you claimed a large deduction based on an appraisal, expect the IRS to request the appraisal and may ask the appraiser’s qualifications. Keep contact information for the charity and the appraiser readily available.
Quick reference: what to get from the charity
- A written acknowledgment for any gift $250 or more (signed and dated).
- A note indicating whether goods/services were provided and their value.
- For donated vehicles, a Form 1098-C or equivalent statement when required.
Final checklist before you file
- Do I have bank/credit card records for cash gifts?
- Do I have written acknowledgments for gifts $250+?
- Have I completed Form 8283 for noncash gifts >$500?
- Do high-value items (> $5,000) have a qualified appraisal attached?
- Are the recipient organizations qualified charities? Use the IRS Tax Exempt Organization Search to confirm (https://www.irs.gov/charities-non-profits/tax-exempt-organization-search).
Professional disclaimer: This article is educational and does not replace personalized tax advice. In my practice, I review documentation on a case-by-case basis; contact a qualified tax professional for help specific to your situation.
Authoritative sources and further reading
- IRS Publication 526, Charitable Contributions: https://www.irs.gov/publications/p526
- About Form 8283, Noncash Charitable Contributions: https://www.irs.gov/forms-pubs/about-form-8283
- IRS Charities & Non-Profits (Tax Exempt Organization Search): https://www.irs.gov/charities-non-profits
If you would like a downloadable donation-log template or a one-page checklist I use with clients, I can prepare that separately.
