The Internal Revenue Service maintains that donors must subtract the value of any "substantial benefits" they receive from the amount of their gifts before they can claim tax deductions. It's the donors' job to make that adjustment--but it's a fund raiser's job to put disclosure statements on a solicitation. (MLW)

Charities have an obligation to give donors "accurate and sufficient information concerning the deductibility of contributions." Donors must subtract any benefit of "substantial value" from their gifts. The value of a benefit is based on its fair market value, not on its cost to the charity. (MLW)

Major implications for fund raising in higher education due to the Tax Reform Act of 1986 are discussed. A list of fund- raising resolutions includes: going back to basics and working harder; consequences of last year's donation rush; and answering questions on the new alternative minimum tax. (MLW)

The most recent tax law creates stiffer rules forcing donors to document their charitable gifts in exchange for offering charities relief from the 1986 Alternative Minimum Tax law. For colleges and universities, who already follow relatively stringent receipt rules, the new regulation is a free and valuable benefit. (MSE)

Discusses the need for the chief development officer (CDO) to have a good working relationship with the college or university chief executive officer (CEO). CDOs need to make sure that their CEOs are well prepared for meetings with alumni and donors, build the CEO's confidence, make work fun, and downplay the stress involved in fund raising. (MDM)

New concentrations of wealth in the United States have not been accompanied by increased private philanthropy for higher education. To inspire large gifts, college development professionals must build a compelling case for transforming education. (MSE)

Federal cutbacks have created new demand for fund-raisers everywhere. Educational fund-raisers are thinking about "pay for performance"--incentive-based pay plans that can help them retain, reward, and motivate talented fund raisers within the tight pay scales common at colleges and universities. (MLW)

South African divestment issue's impact on fund-raising, public relations, and alumni relations are discussed. An informal survey revealed that the campus debate over South Africa, apartheid, and divestment has not had a noticeable effect among donors, alumni, and other constituencies. (MLW)

Information--who your prospects are, what they're interested in, who can best reach them, and what they're capable of giving--is the key to big gifts to institutions of higher education. Prospect research means digging into the personal and financial backgrounds of your donors. Professionals offer advice for drawing up ethical research and privacy…

Building a college's potential for a major gift requires that (1) faculty, administrators, and volunteer leaders share a strong sense of where they want the institution to go and how to take it there; and (2) the development professional communicate that vision and excitement to alumni, community, and other possible donors. (MSE)

Techniques that reduce donors' resistance to college fund-raising requests, either direct mail or telephone solicitations, are offered. These include: respecting the prospects' concerns about privacy; offering nonintrusive giving options; honesty and clarity of communication; reinforcing donor sense of control; connecting with prospects'…