Gifts and Gift Processing Introduction
Gifts and donations are received throughout the year either by a department or directly by the Office of University Development. Gift receipt and gift processing follow very specific guidelines as outlined below.
Reason For The Policy
All departments have an obligation to process gifts in accordance with university policy for the purpose of ensuring good donor relations and to comply with current tax laws.
Gifts: The Office of University Development has the responsibility for soliciting and administering all gifts and grants from individuals as well as gifts to the University's endowment. Gifts and donations are voluntary and irrevocable transfers of money or property made by a donor without expectation of or receipt of direct economic benefit or any other tangible compensation from the donor. All funds acquired according to the terms of this definition must be deposited with the Office of University Development so that the donor can receive the appropriate acknowledgement and tax receipt.
Donor Relations: The Office of University Development processes and acknowledges all gifts to the Ohio State University and the Ohio State University Foundation. Certain gift levels qualify donors for the Presidents Club or other forms of recognition. The university must maintain centralized gift records to ensure that this recognition is provided to all eligible donors. Such records are also necessary to provide accurate information for tax purposes.
Tax Compliance: Recent changes in the tax laws underscore the need for centralized gift processing. According to the tax codes, the university must provide written acknowledgements for all gifts that are $250.00 or more. Donors must maintain these acknowledgements in their files to claim tax deductions for their contributions. Other changes in the tax laws impose reporting requirements on fundraising events such as dinners and golf outings. When departments process gifts outside the Office of University Development, there is no assurance that these requirements have been met.
Penalties: Administrators who do not follow university policies on gift processing may be subject to various penalties. According to the Office of Legal Affairs:
" Failure to follow established university policies for the handling of funds may result in personal or criminal liability for those funds should loss occur. In addition, university employees who intentionally circumvent established university gift processing policies may be subject to university discipline for those actions."
Questions concerning gifts and gift processing should be directed to the Office of University Development. Questions concerning tax implications should be directed to the Division of Accounting, tax coordinator.
Revised: July 9, 2014