Sample Statement to Individuals Who Decline an Honorarium
The following statement should be included in a letter to an individual who requests that an offered honorarium be contributed by the University to a specific charity or retained by the University for some other purpose. Note that if the honorarium is used to make a charitable donation, it must be made in the name of the University of San Francisco.
We acknowledge your request that in lieu of receiving an honorarium for _______________________________________ [speaking engagement, panel discussion, etc.] on ________________________________ [date], you would like to donate these funds to ______________________________________ [the University, a charitable organization (specify), etc.].
Please note that if you decline an offer to receive an honorarium prior to performing any services, and then make a non-binding suggestion to ask that the funds be donated to a charity, you will not be treated as having received any taxable income. We acknowledge that you have declined to receive the honorarium prior to performing the services for which the honorarium was to be paid. We have also considered your request and agree to donate the funds as you have asked.
Because you will not be taxed on these funds, you will not be eligible to claim a charitable deduction in connection with this donation. Please consult your tax advisor if you have any questions regarding the tax treatment of this transaction.