If I give $350 in cash to the American Red Cross, I can take that charitable deduction from my annual filing. If I donate a unit of blood that gives ARC $350 in products, that's not deductible.
The incentive side steps the donor-with-marginal-income problem, unless I'm missing something.
Not Deductible As Charitable Contributions:
Cost of raffle, bingo, or lottery tickets
Dues, fees, or bills paid to ...
Tuition
Value of your time or services
*Value of blood given to a blood bank*
It's amazing how many details the IRS pubs cover. I like your proposal though.
If I give $350 in cash to the American Red Cross, I can take that charitable deduction from my annual filing. If I donate a unit of blood that gives ARC $350 in products, that's not deductible.
The incentive side steps the donor-with-marginal-income problem, unless I'm missing something.