Non- Profit Lease tax Deduction

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Hi,

I'm with a group that is starting a new non-profit business. Anyway, If a plaza that has had trouble renting a space for a period of time decided to allow us to use the spot rent free, till the plaza finds a renter that will pay the full price. Could the owner of the plaza receive a tax deduction for the rent they give to the non-profit group.

If so, and they are a group that makes several million in profits annually. What would the tax deduction be for a space that would normally cost $200,000 dollars.

My guess is that it would be tax deductible, a charitable contribution to give rent to a charitable group. And that if they make generous profits every year, that they deduction would somewhere around 30% of value donated. So ruffly $60,000 dollars.


thx for your time.
 

kirby

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Given these facts, no tax deduction. Reason is you don't get a deduction for donating a part of something. You would if you gave the whole plaza. See irs publication 526.
 

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