Comment Charity Work (Score 1) 30
Currently, if you donate time, say by picking up litter on the expressway as part of a charitable cause, you are not allowed to take any write-off for your time. It's a pity, but that is current tax code.
I would speculate (and I'm not a lawyer) that trying to take a deduction for working on open source software is in the same bucket. And with
Eric Raymond's paper explaining how the reward is intellectual, the IRS could successfully argue that your "donation" is definately not charitable since it involves ego gratification. If you persist, they may go even further and want to assess the economic value of the ego gratification received and tax you on that... *evil grin*
Probably the only thing that you might be
able to do:
a) Create a charatable organization to create open-source software (GPL style, cuz you can argue that the Artistic license is _not_ charitable since it gives the creator "artistic control" in exchange for others's use)
b) You and _lots_ your friends donate to it (otherwise it will be a private foundation, with no tax advantages).
c) The organization could buy equipment and items necessary for the creation of open source software.
d) The organization can _allow_ you to use its
equipment for its charitable purpose.
e) The catch is: You must provide a non-biased mechanism so that your donation dosn't necessarly benifit you (with the use of the computer). Thus, an independent board of directors would be required, and a "grant" mechniism would be put in place, where you (and anyone else who wanted to take advantage of your donated money) can submit .. and possibly win a grant.
Overall, I'd leave trying to beat the IRS out of it. If you do it wrong, it could cost you _way_ more in heart ache and money than you could possibly imagine!
I would speculate (and I'm not a lawyer) that trying to take a deduction for working on open source software is in the same bucket. And with
Eric Raymond's paper explaining how the reward is intellectual, the IRS could successfully argue that your "donation" is definately not charitable since it involves ego gratification. If you persist, they may go even further and want to assess the economic value of the ego gratification received and tax you on that... *evil grin*
Probably the only thing that you might be
able to do:
a) Create a charatable organization to create open-source software (GPL style, cuz you can argue that the Artistic license is _not_ charitable since it gives the creator "artistic control" in exchange for others's use)
b) You and _lots_ your friends donate to it (otherwise it will be a private foundation, with no tax advantages).
c) The organization could buy equipment and items necessary for the creation of open source software.
d) The organization can _allow_ you to use its
equipment for its charitable purpose.
e) The catch is: You must provide a non-biased mechanism so that your donation dosn't necessarly benifit you (with the use of the computer). Thus, an independent board of directors would be required, and a "grant" mechniism would be put in place, where you (and anyone else who wanted to take advantage of your donated money) can submit
Overall, I'd leave trying to beat the IRS out of it. If you do it wrong, it could cost you _way_ more in heart ache and money than you could possibly imagine!
