For galas, dinners, golf tournaments, charity auctions, raffles and casino nights
Charity auction and event ticket receipts: the quid pro quo disclosure, with templates
Event money is the one kind of donation where the thank-you letter has to say something other than "no goods or services were provided." Ticket buyers got dinner. Auction winners got the item. Raffle players got a chance to win. Each needs different wording, and for any payment over $75 the IRS requires it in writing. Below: what is deductible, the five documents an event needs, and how to produce the letters from the event spreadsheet.
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What each kind of event payment is worth to the donor
| Payment | Deductible amount | What your letter says |
|---|---|---|
| Gala / dinner / golf ticket | Price minus fair market value of the meal, round, drinks and entertainment | Good-faith FMV estimate and the deductible excess (required over $75) |
| Ticket bought, then declined and returned before the event | Full price | Standard "no goods or services" acknowledgment |
| Auction winning bid | Amount paid above the item's published fair market value; nothing if paid at or below it | Item description, FMV estimate and the deductible excess |
| Donated auction item (goods) | Donor's choice of basis or FMV under the usual rules; often limited to cost basis because you sold it | In-kind letter: describe the item, no value (in-kind rules) |
| Donated services or a gift certificate for services | Nothing for the donor; services are not deductible | Thank-you note, not a tax receipt |
| Raffle, 50/50, casino chips, game of chance | Nothing | "Not tax deductible" note; W-2G for large prizes |
| Paddle raise / fund-a-need / dessert dash tip | Full amount | Standard acknowledgment |
| Sponsor table or hole sponsorship | Payment minus FMV of the seats, golf and anything beyond name/logo recognition | FMV disclosure; watch the advertising line (sponsorship page) |
| Small logo item (mug, tote) with a 2026 payment of $69.50+ | Full amount if the item cost you $13.90 or less; or benefits ≤ 2% of payment up to $139 | May say the full payment is deductible |
The $75 rule in one paragraph
A quid pro quo contribution is a payment made partly as a gift and partly for goods or services. When such a payment exceeds $75, Internal Revenue Code §6115 requires the charity to give the donor a written statement that (a) says the deductible amount is limited to the excess of the payment over the value of the goods or services, and (b) provides a good-faith estimate of that value. The statement can be on the invitation, the ticket, the receipt or a follow-up letter. The $75 threshold is about the payment, not the deductible part: a $100 ticket for a $60 dinner triggers it even though only $40 is deductible. Below $75 the disclosure is optional, but the donor still may deduct only the excess, so a one-line FMV statement is good practice for every ticket. Separately, a payment of $250 or more also needs the ordinary contemporaneous written acknowledgment under §170(f)(8), and one letter satisfies both rules.
1. Event ticket acknowledgment (quid pro quo)
For gala, dinner, golf and concert tickets over $75. Put the same FMV on every ticket of the same type.
[Organization legal name] [Mailing address] EIN [00-0000000] [Date] [Guest name] [Guest address] Dear [Guest first name], Thank you for joining us at [Event name] on [Event date]. [Organization name] received your payment of $[Amount paid] on [Date received] for [number] ticket(s). In return for this payment you received dinner and entertainment, which we estimate in good faith to have a fair market value of $[FMV per ticket × tickets]. Under federal tax law, the amount of your payment that is deductible as a charitable contribution is limited to the excess of your payment over that value; for this payment that amount is $[Amount paid − FMV]. [Organization name] is a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Please keep this letter with your tax records. With gratitude, [Signer name] [Title]
2. Auction winner letter
One per winning bidder (combine lots if they won several). Use the FMV printed in the catalog.
[Organization legal name] [Mailing address] EIN [00-0000000] [Date] [Bidder name] [Bidder address] Dear [Bidder first name], Thank you for your winning bid at the [Event name] auction on [Event date]. [Organization name] received your payment of $[Amount paid] on [Date received] for [item description, e.g. "one week at a Lake Tahoe cabin (Lot 14)"]. In return for this payment you received the item described above, which we estimate in good faith to have a fair market value of $[Published FMV]. Under federal tax law, only the amount you paid above that value, $[Amount paid − FMV], may be deductible as a charitable contribution. [If the payment did not exceed the value: Because your payment did not exceed the fair market value of the item, no part of it is deductible as a charitable contribution.] [Organization name] is a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Please keep this letter with your tax records. With gratitude, [Signer name] [Title]
3. Letter to the person who donated the auction item
An in-kind acknowledgment: describe, do not value. Skip the tax language for donated services.
[Organization legal name] [Mailing address] EIN [00-0000000] [Date] [Donor name] [Donor address] Dear [Donor first name], Thank you for donating [description of the item, e.g. "a signed team jersey" / "a two-night stay at your vacation home" / "a $200 gift certificate for landscaping services"] to [Organization name] for the [Event name] auction. We received it on [Date received]. No goods or services were provided in exchange for this contribution. This letter describes the property received; as the donor, you are responsible for determining its fair market value for tax purposes. [Organization name] is a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Please keep this letter with your tax records. With gratitude, [Signer name] [Title]
4. Raffle ticket note
Print on the ticket stub or send as a short thank-you. No acknowledgment letter is owed.
Thank you for supporting [Organization name] by purchasing [number] raffle ticket(s) for $[Amount] on [Date]. Please note that under IRS rules the purchase of raffle or lottery tickets is not a tax-deductible charitable contribution, because the chance to win a prize is treated as goods or services received in return. We are grateful for your support all the same.
5. Invitation and program disclosure wording
Disclosing on the invitation satisfies the §6115 solicitation requirement and sets expectations before anyone pays.
Tickets: $[Price] per person, of which $[Price − FMV] is tax deductible as a charitable contribution. The fair market value of the dinner and entertainment provided is $[FMV] per person. Sponsor tables and auction items: the deductible portion of any payment is limited to the amount paid above the fair market value of goods or services received. Fair market values are printed in the auction catalog and on each bid sheet. Raffle tickets are not tax deductible.
Every guest, bidder and paddle-raiser from one spreadsheet
Add two columns to the event sheet: Goods Value and Goods Description. Ticket rows get the dinner value and "dinner and entertainment"; auction rows get the item's catalog value and description; paddle-raise rows leave both blank. The generator writes the good-faith estimate and the deductible amount into each letter, uses the plain "no goods or services" sentence where the columns are empty, and flags every quid pro quo payment over $75. Export PDF, Word or a mail-merge CSV. If you only have a bank or Zelle export, a memo such as "Silent auction - painting" or "winning bid" is caught and the letter gets a warning to add the item's value before sending; "Paddle raise" and "Fund-a-Need" rows stay plain gifts, and a "Table sponsor" memo over $75 is flagged for the value of the seats.
Name,Date,Amount,Goods Value,Goods Description Dana Whitfield,2026-10-18,300,120,two gala dinners and entertainment Dana Whitfield,2026-10-18,850,600,Lot 14: one-week Lake Tahoe cabin stay Marcus Lee,2026-10-18,500,, Priya Natarajan,2026-10-18,150,60,one gala dinner and entertainment
Event receipt questions
When is a written disclosure legally required at a fundraising event?
Whenever a person makes a single payment of more than $75 that is partly a contribution and partly a payment for goods or services, the charity must give a written statement that (1) tells the donor the deductible amount is limited to the excess of the payment over the value of what they received and (2) gives a good-faith estimate of that value (Internal Revenue Code section 6115). It can be printed on the ticket, the invitation, the receipt or a follow-up letter, and must be furnished with the solicitation or the receipt. The penalty is $10 per payment, up to $5,000 per event, unless the failure was due to reasonable cause (section 6714).
The caterer donated the food. Can we say the dinner's fair market value is zero?
No. Fair market value is what the guest would pay for a comparable dinner and show at a restaurant or venue, regardless of what the event cost you. Donated catering, a free room or volunteer servers reduce your expenses, not the value the guest received. Make a reasonable estimate (a comparable local dinner, drinks and entertainment), document how you got there, and apply it to everyone.
A guest bought a ticket but did not come. Can they deduct the full price?
Only if they declined the ticket and returned it to you before the event; then the whole payment is a gift and the letter says no goods or services were provided. If they simply did not show up, the IRS position (Rev. Rul. 67-246) is that they still purchased the right to attend and the deduction remains the excess over fair market value.
How do we know the fair market value of an auction item?
Use the retail price of the same or a similar item. For donated goods the donor usually supplies it on the donation form. For one-of-a-kind items (a week at someone's cabin, lunch with the mayor, a quilt) make a reasonable estimate from comparable rentals or services. Print the value in the catalog and on the bid sheet, so bidders know in advance how much of a winning bid is deductible. Bidders who pay at or below the stated value receive no deduction.
What does the person who donated the auction item get?
An in-kind acknowledgment that describes the item and the date received and states that nothing was given in return, without a dollar value. Two donor-side rules are worth mentioning gently: a donor of tangible property that the charity sells rather than uses in its program is generally limited to deducting their cost basis rather than fair market value, and a person who donates their own services or a gift certificate for their services (a haircut, a photo session, a weekend at their house) has no deduction at all, because services and the use of property are not deductible contributions. You still thank them; you just do not call it a tax-deductible gift.
Are raffle tickets, 50/50 draws and casino-night chips deductible?
No. The purchase price buys a chance to win, which the IRS treats as full value received, so there is no charitable contribution and no acknowledgment letter is owed. Say so plainly on the ticket or in a thank-you note. Separately, raffle winnings of $600 or more that are at least 300 times the wager must be reported on Form W-2G, and prizes over $5,000 require 24% federal withholding; most states also regulate charitable gaming and require a permit.
A sponsor paid $5,000 for a table of ten. What is deductible?
If the sponsor received only name and logo recognition plus the table, the payment is a qualified sponsorship payment and the deductible amount is $5,000 minus the fair market value of the ten dinners. Disclose the dinner value in writing. If the package also included advertising (a page in the program with prices or a call to action), the advertising portion is not a gift and may be taxable income to you; see the sponsorship page.
Does the fund-a-need / paddle raise count as a pure gift?
Yes. A paddle raise, dessert dash tip jar or 'raise the paddle' pledge where the donor receives nothing in return is an ordinary contribution. The letter states the amount and date and that no goods or services were provided. Keep paddle-raise payments on a separate line from ticket and auction payments in your spreadsheet so the letters say the right thing.
Can we ignore small thank-you gifts like a tote bag or a mug?
Usually. For 2026 the IRS lets you treat a benefit as insubstantial, and tell the donor the whole payment is deductible, when either the payment is $69.50 or more and the items bear your name or logo and cost you $13.90 or less in total, or the benefits are worth no more than 2% of the payment, capped at $139. Free admission to a members-only event and frequent member benefits have their own rules. Anything bigger has to be disclosed.
How do we produce all of these letters from the event spreadsheet?
Give the sheet columns for Name, Date, Amount, Goods Value and Goods Description. Ticket buyers get the dinner value and 'dinner and entertainment'; auction winners get the item's published value and description; paddle-raise and cash donors leave the goods columns blank; raffle players are left off the list or handled with the note above. The generator writes the good-faith estimate and the deductible amount into each letter and flags every quid pro quo payment over $75.
General information based on Internal Revenue Code §170(f)(8), §6115 and §6714, Treasury Regulation §1.170A-13(f), Rev. Rul. 67-246, Rev. Proc. 2025-32 (2026 insubstantial-benefit amounts), IRS Publication 1771 and Publication 526. Raffle reporting follows the Form W-2G instructions; state charitable-gaming law varies. Not legal or tax advice.