Read The [...]]]> Today’s New York Times reports that the Japanese Red Cross says it doesn’t need donations, few charities actually work in Japan, and that U.S. organizations that are receiving donations in response to the Japan earthquake/tsunami disaster don’t have a plan for what they’ll do with the money. Let’s go slow on this.

Read The New York Times article.

Read our post on avoiding disaster-related “charity” scams.

You can avoid the scammers with some easy checking. The following suggestions are taken from the SeriousGivers Top Tips for Avoiding [...]]]> This week’s earthquake/disaster in Japan will bring out the scammers. They will view the disaster as an opportunity to make some easy money. Disguising themselves as a charity is a common scammer strategy.

You can avoid the scammers with some easy checking. The following suggestions are taken from the SeriousGivers Top Tips for Avoiding “Charity” Scammers:

1. Identify the organization. Scammers set up bogus charities, and use names similar to known, legitimate charities. The the federal employer identification number (EIN) for the organization. While charity names may be similar, no two charities have the same EIN.
2. Confirm it is a charity. Check the SGO database of charities. If the organization is there, you know it has passed the tests to be treated as a charity. The easiest way is to go to seriousgivers.org/find-a-charity/ and enter the organization’s EIN. If the organization isn’t in the SGO database, check IRS Publication 78 (online). For best results with Publication 78, enter the organization’s name and its main location.
3. Check its operations and reputation. Armed with the organization’s EIN, you can run a Google search, check its Report at SeriousGivers, and see if it is covered by CharityNavigator or CharityWatch. You can find and review its IRS Form 990 or 990-EZ information return, by using the seriousgivers.org/find-charity-990/ page.

Remember: Every dollar scam “charities” take in is a dollar that could instead have gone to a strong charity doing valuable work with the funds entrusted to it.

Read or printout Top Tips for Avoiding “Charity” Scammers

Of course, a donation needs to be made to a qualified organization. Only those who itemize their deductions [...]]]> Your cash donations in early 2010 to help in the Haiti earthquake relief efforts could actually get you a 2009 income tax deduction! This includes contributions made by text message, check, credit card or debit card.

Of course, a donation needs to be made to a qualified organization. Only those who itemize their deductions on Schedule A get to take charitable deductions. The donation must be made during the period January 12 through February 28.

For the details, read the IRS article on Haiti donations.

Read the CharityNavigator article.