Merchandise entry to receipt portion of it

Brinda Goswami

Hello friends,


We are looking into selling merchandise items. And I have a question if you enter merchandise as a straight gift or you have your own way of tracking it through Event module? We need to issue a tax receipt for a portion of the merchadise sale price. How do you enter this in Raiser's Edge? 


I'm looking forward to great suggestions.


Thanks,

Brinda

Melissa S Graves

If you are selling merchandise at a standard fair market value then none of it is a gift. The proceeds may benefit your organization but there is not gift by the purchaser - they got something of an equal value for their payment.


This is different if, instead of a merchandise sales, you were considering these items benefits for gifts. So for a $100 gift you get a $30 sweatshirt - then you have a gift with a benefit and you can book a $70 gift.


If you are simply selling merchandise - it is a great revenue source - but it is NOT fundraising revenue. It does not go into RE (unless just documented for stewardship purposes but I would not recommend it) and does not count toward fundraising totals.

Brinda Goswami

Melissa Graves:

If you are selling merchandise at a standard fair market value then none of it is a gift. The proceeds may benefit your organization but there is not gift by the purchaser - they got something of an equal value for their payment.


This is different if, instead of a merchandise sales, you were considering these items benefits for gifts. So for a $100 gift you get a $30 sweatshirt - then you have a gift with a benefit and you can book a $70 gift.


If you are simply selling merchandise - it is a great revenue source - but it is NOT fundraising revenue. It does not go into RE (unless just documented for stewardship purposes but I would not recommend it) and does not count toward fundraising totals.

Thanks Melissa. Sorry I didn't clarify this in my original post. We are only going to issue tax receipt for the portion they pay after FMV of the t-shirt. So yes from your example above, they will get a tax receipt for $70. It is just that someone at my work suggested me to use Event module for merchandise/gift tracking. And I was wondering if anyone in our community used it that way and see benefits of using Event module that way which I might not be aware of ie. report, gift tracking etc.