MT

Compliance

Every donation is filed as proof. Enhanced §170(e)(3) deductions modeled, Form 8283 section assigned, appraisal and donee use-statement tracked — audit-ready.

Total deduction

$3.7M

§170(e)(3) modeled

FMV documented

$5.3M

fair market value

Filed

2/4

returns filed

Use statements

4/4

donee confirmations

Tax year

2026

current

How the enhanced deduction works

A C-corporation donating inventory to a qualified 501(c)(3) for the care of the ill, needy, or infants may deduct the lesser of:

Option A

cost basis + ½ × (FMV − basis)

Option B — cap

2 × cost basis

Deductions over $500 require Form 8283; items or groups over $5,000 require a qualified appraisal (Section B).

Donation lotCompanyBasisFMVDeduction8283AppraisalStatus
Holiday gifting surplus — prestige

FY2026

L'Oréal USA$840,000$2,100,000$1,470,000Section BRequiredfiled
Restructuring surplus — prestige skincare

FY2026

Estée Lauder$720,000$1,850,000$1,285,000Section BRequiredfiled
Packaging-redesign stock — consumer beauty

FY2026

L'Oréal USA$390,000$910,000$650,000Section BRequireddocumented
Professional pro-pack revision stock

FY2026

Wella Company$210,000$470,000$340,000Section BRequireddocumented

Figures modeled on IRC §170(e)(3) enhanced deduction for C-corporation inventory donations to qualified 501(c)(3) organizations. Informational only — not tax or legal advice. Validate treatment with a qualified tax professional.