Prior to August 1, a refund less a $15 processing fee will be issued if your child chooses not to participate or if extenuating circumstances develop.
After August 1, NO REFUNDS, NO EXCEPTIONS.
Registration Fee includes game and practice uniforms, mouthpiece, all pads, and helmet. These Items are the property of the Teaneck Junior Football League and must be returned at the end of the season.
There is a charge of between $25 to $300 if the equipment is not returned by the final equipment turn in date in December.
Why TJFL fees may be tax deductible
TJFL is a charitable organization under Internal Revenue Code section 501(c)(3) and, as such, your registration fee may be tax deductible as a charitable contribution depending on your personal tax situation. Please consult your tax advisor.
In general, an individual who itemizes deductions may deduct contributions to most charitable organizations up to 50% of his or her adjusted gross income computed without regard to net operating loss carrybacks. Individuals generally may deduct charitable contributions to other organizations up to 30% of their adjusted gross income (computed without regard to net operating loss carrybacks).
How is it TJFL registration fee is tax deductible?
My child’s soccer, baseball, basketball and other sports teams don’t offer the same thing.
It’s probably more than most people would want to read on the subject, but what follows is a long explanation.
Here’s the bottom line: So long as TJFL players do not keep their uniforms or equipment, they are not receiving any substantial benefit or gifts that would reduce the deductible portion of their annual registration fee.
We’re certain — and we’re sure you’re concur after reviewing the IRS source material below — that TJFL is correct in extending 100 percent deductible. We also believe that you’ll agree that TJFL is smart — and is providing our football family the best youth sports deal in town.
IRS Guidance on Membership Fees or Dues
Read the general IRS guidance on charitable contributions HERE. See IRS Publication 526 “Charitable Donations” HERE beginning on page 4, first leg.
It says you can deduct your entire payment to a qualified organization — whether membership dues, fees or donations — ((TJFL is a qualified 501c3 public charity)) if the following are true:
(1) You get a small item or other benefits of token value.
(2) The qualified organization correctly determines that the value of the item or benefit you received is not substantial and informs you that you can deduct your payment in full.
We meet the first test so long as TJFL players do not keep their uniforms or equipment (see the last part of this note for more on this). If they don’t return them, then that can be construed as a non-token gift or benefit whose cost to the charity (not present fair market value) would reduce the amount of the eligible deduction.
Let’s move on to test two above: determining the value is not substantial.
Rev. Proc. 90-12, 1990-1 C.B. 471 HERE and Rev. Proc. 2006-53 HERE are the IRS guidelines on this matter. They are further amplified by Rev. Proc. 92-49, 1992-1 C.B. 987 HERE. The three aforementioned documents provide charitable organizations with help in advising their patrons of the deductible amount of contributions under section 170 of the Tax Code when contributors are receiving something in return for their contributions.
In summary, they say benefits received in connection with a payment to a charity will be considered to have insubstantial fair market value if they meet two tests:
(1) The payment occurs in the context of a fund-raising campaign in which the charity informs patrons how much of their payment is a deductible contribution.
(2) The fair market value of all of the benefits received in connection with the payment is not more than 2 percent of the payment, or $89 (adjusted to 2006 dollars), or whichever is less.
We meet test one above by general solicitations for participation (flyers in all the schools, website and the like) and our disclosures on the flyers and paper and electronic registration forms. As discussed earlier, we meet test two so long as TJFL players return all their equipment and uniforms.
Now, a little about what goes into TJFL’s calculation of low-cost items, which IRS guidelines say can be disregarded.
To ease reporting requirements, IRS says qualified organizations can ignore token gift items, such as a tee-shirt or key chains with the charitable group’s logo, so long as the membership dues, fees or donations are more than $89 (in 2006 dollars) and the gift is less than 2 percent of the dues. In TJFL’s case, 2 percent of the basic $200 maximum registration fee (volunteer and equipment deposits don’t factor) would be approximately $2.
Again, so long TJFL players do not keep their uniforms or equipment, they receive zero in non-token gifts or tangible benefits, according to IRS guidelines.
Let’s go a step further: What’s the value the players enjoy from using the uniform and equipment and should the charitable deduction be reduced by such “usage”?
Assuming the players return them, the charity only sustains a reduction in the value of the uniform, equipment and other gear due to wear and team, which is insignificant because the jerseys, helmets, shoulder pads, pants and other pads can last for many, many several years. However, there’s one biannual “maintenance” expense: helmet reconditioning.
The helmets must be inspected and reconditioned every other year. We typically sent about 100 helmets to Riddell, or some another the football equipment company, for inspection and recertification at a cost to TJFL of about $2,000. Since every helmet must be reconditioned biannually, divide the cost of reconditioning in half and $1,000 is the “used” portion of all helmets each year. Now divide the $1,000 by TJFL’s annual football enrollment, 100, and it comes to $10 helmet use per player.
Under the IRS’s guidelines, the $10 annual helmet “use” is a low-cost item and, therefore, can be disregarded.