RESOURCES FOR URBAN HARVESTERS
Urban Harvester recommends that you consult with your own legal advisor and accountants for laws and regulations regarding food donations.
The links below are to be used as a guide for your research.
Click on the blue links below for the entire documents.
The links below are to be used as a guide for your research.
Click on the blue links below for the entire documents.
U.S. Congress limits Liability for Donating Food for the hungry.
Excerpts from "BILL EMERSON GOOD SAMARITAN FOOD ACT":
(c) Liability for damages from donated food and grocery products(1) Liability of person or gleanerA person or gleaner shall not be subject to civil or criminal liability arising from the nature, age, packaging, or condition of apparently wholesome food or an apparently fit grocery product that the person or gleaner donates in good faith to a nonprofit organization for ultimate distribution to needy individuals.
(2) Liability of nonprofit organizationA nonprofit organization shall not be subject to civil or criminal liability arising from the nature, age, packaging, or condition of apparently wholesome food or an apparently fit grocery product that the nonprofit organization received as a donation in good faith from a person or gleaner for ultimate distribution to needy individuals.
(3) ExceptionParagraphs (1) and (2) shall not apply to an injury to or death of an ultimate user or recipient of the food or grocery product that results from an act or omission of the person, gleaner, or nonprofit organization, as applicable, constituting gross negligence or intentional misconduct.
(d) Collection or gleaning of donationsA person who allows the collection or gleaning of donations on property owned or occupied by the person by gleaners, or paid or unpaid representatives of a nonprofit organization, for ultimate distribution to needy individuals shall not be subject to civil or criminal liability that arises due to the injury or death of the gleaner or representative, except that this paragraph shall not apply to an injury or death that results from an act or omission of the person constituting gross negligence or intentional misconduct.
(e) Partial complianceIf some or all of the donated food and grocery products do not meet all quality and labeling standards imposed by Federal, State, and local laws and regulations, the person or gleaner who donates the food and grocery products shall not be subject to civil or criminal liability in accordance with this section if the nonprofit organization that receives the donated food or grocery products--
(1) is informed by the donor of the distressed or defective condition of the donated food or grocery products;
(2) agrees to recondition the donated food or grocery products to comply with all the quality and labeling standards prior to distribution; and
(3) is knowledgeable of the standards to properly recondition the donated food or grocery product.
(f) ConstructionThis section shall not be construed to create any liability. Nothing in this section shall be construed to supercede State or local health regulations.
(c) Liability for damages from donated food and grocery products(1) Liability of person or gleanerA person or gleaner shall not be subject to civil or criminal liability arising from the nature, age, packaging, or condition of apparently wholesome food or an apparently fit grocery product that the person or gleaner donates in good faith to a nonprofit organization for ultimate distribution to needy individuals.
(2) Liability of nonprofit organizationA nonprofit organization shall not be subject to civil or criminal liability arising from the nature, age, packaging, or condition of apparently wholesome food or an apparently fit grocery product that the nonprofit organization received as a donation in good faith from a person or gleaner for ultimate distribution to needy individuals.
(3) ExceptionParagraphs (1) and (2) shall not apply to an injury to or death of an ultimate user or recipient of the food or grocery product that results from an act or omission of the person, gleaner, or nonprofit organization, as applicable, constituting gross negligence or intentional misconduct.
(d) Collection or gleaning of donationsA person who allows the collection or gleaning of donations on property owned or occupied by the person by gleaners, or paid or unpaid representatives of a nonprofit organization, for ultimate distribution to needy individuals shall not be subject to civil or criminal liability that arises due to the injury or death of the gleaner or representative, except that this paragraph shall not apply to an injury or death that results from an act or omission of the person constituting gross negligence or intentional misconduct.
(e) Partial complianceIf some or all of the donated food and grocery products do not meet all quality and labeling standards imposed by Federal, State, and local laws and regulations, the person or gleaner who donates the food and grocery products shall not be subject to civil or criminal liability in accordance with this section if the nonprofit organization that receives the donated food or grocery products--
(1) is informed by the donor of the distressed or defective condition of the donated food or grocery products;
(2) agrees to recondition the donated food or grocery products to comply with all the quality and labeling standards prior to distribution; and
(3) is knowledgeable of the standards to properly recondition the donated food or grocery product.
(f) ConstructionThis section shall not be construed to create any liability. Nothing in this section shall be construed to supercede State or local health regulations.
IRS Provides significant Tax Benefits for Food DONATIONS to feed the Hungry.
Excerpts from "IRS IN-KIND CONTRIBUTIONS, IRC 170(E)(3)":
To ascertain the deduction amount, start with the fair market value of the donated inventory property, less one-half the amount of the reduction computed under IRC 170(e)(1) (i.e., the unrealized appreciation). The resulting amount must be reduced by any amount exceeding twice the property's basis. IRC 170(e)(3)(B). Reg. 1.170A-4A(c)(4) illustrates how the required formula is applied:
Example (1). During 1978 corporation X, a calendar year taxpayer, makes a qualified contribution of women's coats which was [inventory] property. The fair market value of the property at the date of contribution is $1,000, and the basis of the property is $200. The amount of the charitable contribution which would be taken into account under section 170(a) is the fair market value ($1,000). The amount of gain which would not have been long-term capital gain if the property had been sold is $800 ($1,000 - $200). The amount of the contribution is reduced by one-half the amount which would not have been capital gain if the property had been sold.
$800/2 = $400
To ascertain the deduction amount, start with the fair market value of the donated inventory property, less one-half the amount of the reduction computed under IRC 170(e)(1) (i.e., the unrealized appreciation). The resulting amount must be reduced by any amount exceeding twice the property's basis. IRC 170(e)(3)(B). Reg. 1.170A-4A(c)(4) illustrates how the required formula is applied:
Example (1). During 1978 corporation X, a calendar year taxpayer, makes a qualified contribution of women's coats which was [inventory] property. The fair market value of the property at the date of contribution is $1,000, and the basis of the property is $200. The amount of the charitable contribution which would be taken into account under section 170(a) is the fair market value ($1,000). The amount of gain which would not have been long-term capital gain if the property had been sold is $800 ($1,000 - $200). The amount of the contribution is reduced by one-half the amount which would not have been capital gain if the property had been sold.
$800/2 = $400
