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	How WIN Works for Corporations... Receiving a DOUBLE TAX WRITE-OFF while increasing your INVENTORY TURNS by donating your excess inventory may seem too good to be true, but many successful corporations receive it every year. Under the 170(e) law, you may deduct not only the base cost of your inventory, but one half of your potential profit (limited to double the cost) when you donate it to a qualified not-for-profit organization such as WIN. WIN accepts bulk shipments of excess inventory from companies, and redistributes it to other not-for-profit organizations in smaller quantities that suit their need. There is NO CHARGE to the donor for this service. We qualify as a 501(c)(3) and are certified to accept items under article 170 of the IRS code. Please consider the benefits of donating your excess inventory to WIN: Up to a DOUBLE TAX WRITE-OFF. Run the numbers - many companies net more cash in saved taxes than can be realized by liquidation. Increase Inventory Turns and decrease Days Cost of Goods Sold in Inventory on your Financial Statement by purging non-moving products. Protect the value of your product – avoid liquidation and “fire sale” pricing – we keep your product out of secondary markets so you don’t compete with yourself. Avoid storage & disposal fees. No cherry picking – our policy is to accept all types of merchandise – INCLUDING SECONDS, PARTS & RETURNS Over 15 years experience handling corporate inventory and asset donations – we offer prompt reporting & professional service. Please review our Frequently Asked Questions and contact us with any specific questions about how WIN can work for your company.

Additional Information

170 (e) Law

SPECIAL RULE FOR CERTAIN CONTRIBUTIONS OF INVENTORY AND OTHER PROPERTY, PUBLIC LAW 94-455, OCTOBER 4, 1976

American Bar Association Section on Taxation Newsletter

Dealing with excess inventory is a major problem for many corporations; storage and disposition of leftover or outdated products can be expensive and time consuming. One solution that produces significant tax benefits is to donate excess inventory to charitable organizations. Although section 170(e) generally limits the deduction for charitable contributions or ordinary income property (such as inventory) to basis, section 170(e) provides an exception for “qualified contributions” of inventory. Under that exception C corporations may deduct the basis of the donated inventory plus one-half the difference between basis and fair market value, up to a maximum of twice the basis. Under Reg. §1.170A-1(c)(2) fair market value is the price that would have been received had the taxpayer sold the contributed property in its customary market; for most corporations, this is the wholesale price.

How WIN Works for Corporations...