Tax Reform Can I Get a Tax Break for Supporting My Alma Mater’s Football Team? Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by Jim Wang Published Sep 12, 2018 - [Updated May 6, 2022] 3 min read Previously, if you made a donation to a university that gave you the right to buy tickets to a sporting event, sometimes known as personal seat licenses (PSL), you could deduct 80% of that donation from your taxes. If you received tickets in return for your donation, you could deduct the donation less the value of those tickets. When the tax reform law was passed, it repealed that rule. Instead of claiming 80% of the donation for the PSL as a deduction, you cannot claim any of the donation as a deduction, beginning with your tax years 2018 – 2025. So, what if you still want to support your alma mater’s football team and get a tax deduction? Other Donations are Still Tax Deductible Although the new tax reform law did away with the tax deduction of personal seat licenses (PSLs) or seating for sporting events, it didn’t impact other opportunities to donate to a university’s sports program while reaping the benefit of a tax deduction. If you support the booster club, attend charity dinners, or donate items to raffles, those donations are tax deductible. If you do support the booster club, you’ll want to do your homework on the organization since it’s not formally part of the university. At a minimum, ensure the booster club is a qualified 501(c)(3) organization. If you give a donation and get anything in return, you’ll want to reduce the amount of your deduction by the value of the item. Like any donation, get appropriate documentation of your donation. This can be in the form of a canceled check if you donated less than $250. If it’s more than $250, you will want something from the university that includes the amount, date, and what, if anything, you received in return – this will be sufficient to support your donation. Donate to the University Donations to a university can be tax deductible as long as they are a 501(c)(3) organization and you can itemize your tax deductions. Universities generally fit into a 501(c)(3) organization because of their educational purposes but always confirm this before making a contribution. If you want to make a donation to a particular sport or club at the university, you can. Most universities will let you designate your donation to go to that sport or club and when your funds are transferred, they are moved to the appropriate account. This is especially useful for sports and clubs that don’t have their own fundraising person and don’t get a lot of donations. These donations can be 100% tax deductible subject to adjusted gross income limits. *Certain charitable contributions of cash to a public charity or organization are now subject to a limitation of 60% of your adjusted gross income, up from a 50% limitation. Any excess can be carried forward into future years. This applies to any charitable contribution, whether it’s to your alma mater or local church. So despite the most recent tax law change impacting sporting event seats, you can still make many other tax-deductible donations to your university’s sports programs. Don’t worry about knowing these tax rules. TurboTax asks you simple questions about you and gives you the tax deductions and credits you’re eligible for based on your answers. If you have questions, you can connect live via one-way video to a TurboTax Live CPA or Enrolled Agent to get your tax questions answered. TurboTax Live CPAs and Enrolled Agents are available in English and Spanish and can also review, sign, and file your tax return Previous Post Tax Reform 101: How the New Tax Reform Law Changed… Next Post Tax Reform 101 for Families Written by Jim Wang More from Jim Wang One response to “Can I Get a Tax Break for Supporting My Alma Mater’s Football Team?” does turbo tax handle 1031 exchanges Browse Related Articles Uncategorized What Is Deferred Compensation & How Is It Taxed? Investments How Does an Inherited IRA Work? Work Choosing Your Business Structure: 5 Types of Businesses… Tax Deductions and Credits Are HOA Fees Tax Deductible? What You Need to Know Crypto Understanding Crypto and Capital Gains Work 7 Things You Need to Know About the New Business Report… Work Using Form 8829 to Write-Off Business Use of Your Home Tax Tips Roth 403(b) vs. Roth IRA: Which Should You Invest In? Life Interest Rates, Inflation, and Your Taxes Investments Essential Tax Tips for Maximizing Investment Gains