Forfeited Deposit $$ Forum

[bigjinjapan]

As someone who's forfeiting a decent chunk of deposit money this cycle, I got to thinking: what's the status of this money? Here you've essentially gifted this money to the schools: can you claim a tax break for charitable donation? More importantly: how do they dispose of the money?

Here I've created a poll with my 5 most likely uses for forfeited deposit money. Vote for your favorite or feel free to add your own.

[2011Cycle]

As someone who's forfeiting a decent chunk of deposit money this cycle, I got to thinking: what's the status of this money? Here you've essentially gifted this money to the schools: can you claim a tax break for charitable donation? More importantly: how do they dispose of the money?

Here I've created a poll with my 5 most likely uses for forfeited deposit money. Vote for your favorite or feel free to add your own.

No more a gift than any other non-refundable deposit(hotels in Vegas, cruise reservations, etc)

[bigjinjapan]

As someone who's forfeiting a decent chunk of deposit money this cycle, I got to thinking: what's the status of this money? Here you've essentially gifted this money to the schools: can you claim a tax break for charitable donation? More importantly: how do they dispose of the money?

Here I've created a poll with my 5 most likely uses for forfeited deposit money. Vote for your favorite or feel free to add your own.

No more a gift than any other non-refundable deposit(hotels in Vegas, cruise reservations, etc)

As I understand it, most universities are not-for-profit institutions (as opposed to for-profit universities that have been in the news lately). I would think that they should have to be more accountable for their money than a for-profit business would be. And if the money really does go into the merit scholarship pit, wouldn't that be a charitable donation?

[2011Cycle]

As someone who's forfeiting a decent chunk of deposit money this cycle, I got to thinking: what's the status of this money? Here you've essentially gifted this money to the schools: can you claim a tax break for charitable donation? More importantly: how do they dispose of the money?

Here I've created a poll with my 5 most likely uses for forfeited deposit money. Vote for your favorite or feel free to add your own.

No more a gift than any other non-refundable deposit(hotels in Vegas, cruise reservations, etc)

As I understand it, most universities are not-for-profit institutions (as opposed to for-profit universities that have been in the news lately). I would think that they should have to be more accountable for their money than a for-profit business would be. And if the money really does go into the merit scholarship pit, wouldn't that be a charitable donation?

If U.S. tax deductibility rules were based on outcomes, your presumption would have merit. Unfortunately, for tax purposes a charitable contribution must have from it's initial contribution be explicitly for the purpose of a gift, without any known or expected return of value. When we place seat deposits, the return we receive is that seat being geld for us and when we enroll it goes toward tuition. Unfortunately, when we lose it, we by choice forgo the value we have received and the school is under no obligation to return it --hence, the deposit converts to a donation of a sorts but not a charitable deduction at all.

[minuit]

GW has 2k worth in deposits from me. I wrote in my withdrawal letter that I hope it contributes to a scholarship for someone else, but who knows. Probably highly unlikely.