Recordkeeping requirements for charitable contributions by payroll deduction.

• Author: Winton, Lisa A.

Notice 2006-110 explains how charitable contributions made by payroll deduction may meet the recordkeeping requirements of Sec 170(f)(17), as added by Section 1217 of the Pension Protection Act of 2006.The IRS and Treasury expect to issue regulations under Sec. 170 to incorporate the Sec 170(f)(17) requirements; taxpayers may rely on the notice until regulations are issued.

To substantiate a deduction, regardless of amount, Sec. 170(f)(17) requires a taxpayer to maintain a bank record or written communication from the donee showing the (1) name of the donee organization, (2) contribution date and (3) amount contributed.

For a contribution made through a...