Can Rent-free housing be a charitable contribution?

[mdjeepster]

What is the name of your state?[What is the name of your state? DC

I have a rental condo. I offered it for use by a non-profit, charitable organization for a period of time. There is a loss value to me consisting of the rent I would have otherwise recieved. If I get a letter from the organization stating (thanking me) for use of my rental unit for the period of time it was occupied, may I deduct the value of the rent that I would have recieved as a charitable contribution?

 

[shortbus]

In general, the value of time or services donated is not considered a charitable contribution. Making a rental condo available would likely be considered a 'service'.

Without this rule, people would potentially be able to generate large charitable contributions at little detriment to themselves.

 

[abezon]

You cannot deduct "lost" rent you never collected in the first place. In order to deduct the rental value of the condo, you'd also have to declare the rental value as income. The 2 amounts would cancel each other out, leaving you no change in taxable income. Depending on your income, the higher AGI might even hurt you.

You can deduct out-of-pocket expenses incurred while the charity uses the condo. This would include food consumed by the organization people, utilities, repairs, condo dues, etc. Don't just do all repairs while the charitable organization uses the condo -- this would be a sham transaction & jcould get you in trouble.