AFUE, Contributions and Taxes

As described on our What's happening in the USA? page, AFUE is no longer independent of the University, and is no longer considered a charitable or exempt organization by the IRS. Donations to AFUE cannot be deducted on your tax return.

Donations intended for the University or University-related programs should be forwarded to the University of Edinburgh USA Development Trust.

Donations to charitable or exempt organizations may be deductible on your tax return, if you itemize your deductions. The Internal Revenue Service (IRS) applies strict rules to determine whether a donation is deductible or not. For example, a donation to a US domestic organization is normally deductible, while a donation to a foreign institution, e.g. a Scottish University(!), whether it is made directly or indirectly, is not deductible. An indirect donation is one where the money is donated to a US organization, which then passes on that money to the foreign institution, to use as they think fit.

However, according to IRS regulations, a US organization that has links to a foreign institution is able to receive donations in the USA and send money to the foreign institution, and maintain tax-deductibility for the donor, IF the US organization retains control over the funds and their use.

The University of Edinburgh USA Development Trust is registered with the Internal Revenue Service (IRS) as a 501(c)(3) domestic exempt organization. The USA Development Trust's Board of Directors determines what payments to make to the University after examining the merits of potential recipient programs and departments, and making selections based on a number of defined criteria.