[Skynet]

I’m trying to figure out how to record a transaction for a Donated Car used in a raffle for quickbooks. Keep in mind the raffle has already happened. The amounts from the raffle is more than the vehicle.

I know you have to record a JE for the asset as a donated asset and credit contribution revenues for the Non Profit.

The issue is that the revenues comes from the raffles but are then deposited into the quickbook’s bank account.

Can anyone take me through the full steps and the journal entries in quickbooks in how to deal with this transaction?

Thanks.

[luciusthegreat]

I think this is what you need tof do.

Your first journal entry is to record the donation of the vehicle.:
Dr. Fixed assets
Cr. In kind donation

In kind donation is a revenue account.

Your second journal entry to record the raffle.:
Dr. Cash/checking
Cr. Raffle income

3rd journal entry tof record disposition of vehicle.
Dr. Raffle expense
Cr. Fixed asset

[Missy]

Say the car is worth 5k. The initial entry is

Dr asset
Cr fundraising revenue.

You sell 10k in raffles
Dr cash 10k
Cr asset 5k
Cr fundraising revenue 5k

Licensed Massachusetts Non Reporting CPA since 2012
Finance/Admin/HR Manager

[Skynet]

Thanks Charis Hurley & mla11692. That really helps.

[tg7174]

Note that he IRS makes a distinction between “Raffle and Gaming Income” and “Fundraising Income”. If it's a raffle, then it should be reported separately from other fundraising income.

[Author]

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