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Nonprofit Law/Donating Office Space


I just finished reading your write-up at and it did answer, sort of, my question.  I have read through some IRS information but it was not as clear as a bell.  Their example of "no deduction" refers to a 10 story building.  My question relates more toward a store front in a strip mall or small shopping center where the property owner (landlord) owns all of the land and buildings.  I want to propose to him donating one of these store fronts, not including utilities which the NP would establish accounts and pay them, for which he could claim an in-kind donation.

Thanks for your time.  Very interesting reading and much more clear than reading the IRS code.

It appears that you are asking about the situation when a landlord donates use of a store front to a 501(c)(3) organization. There is no charitable deduction available for the same reasons as given in my earlier answer.  For your convenience and for the convenience of the other readers -- See IRS Publication 526 "Charitable Donations" which is available at especially on page 9 the IRS writes about "partial interests" under the heading "Partial Interest in Property" which means that donations of use are not deductible. Even if the landlord gives space for free to use the landlord does not receive a charitable deduction. The IRS explains there to landlords, "  A contribution of the right  to use property is a contribution of less than your entire interest in that property and isn't deductible."

Harvey Mechanic
Attorney at Law

P.S. This response is intended to be a general statement of law, should not be relied upon as legal advice and does not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather more information.  

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Harvey Mechanic


I am an attorney and I volunteer time to answer general questions about U.S. Federal income tax issues of nonprofit 501(c)(3) public charities only. Those questions could be about establishing and maintaining legal requirements for such non-profit organizations in the United States, including Internal Revenue service filings and requirements. I will not be working on this free forum to answer questions about Nonprofit's possible unrelated or for-profit businesses or how to fill out forms. This forum is only for general questions about federal tax law, not as the law applies to your specific situation. If you do not make your question public then I will not be spending much of my donated time on answers that would not benefit the public. If you have other questions, please contact me at I will reply from my email. In any case, do not reveal confidential information to me until after I have contracted with you to provide personal legal services. My responses on this forum are intended to be general statements of law, should not be relied upon as legal advice, and do not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather extensive information about the situation. To search my previous answers you can do a Google search by "" without the quotes and then add your search terms before hitting enter.


I have been practicing law and especially the law of nonprofit organizations since 1990 when I was admitted to the New York Bar and I have maintained my status with the Bar since that time.


B.S. Columbia University in New York City, 1970

J.D. (Law Degree) Brooklyn Law School, 1990 -- Cum Laude.

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