What is Fair Market Value (FMV)?

Focus on the Family creates fantastic resources to help families, marriages, and individuals grow. And since you are an integral ministry partner, we love to provide these items to you for free as often as possible. However, this leads to an IRS regulation involving reporting gifted items in exchange for a donation, called Fair Market Value.

You’ve probably noticed a line on your giving statement or a year-end tax receipt from Focus on the Family that lists a dollar amount for Fair Market Value (FMV). This is a good faith estimate of the monetary value for an item you received for free in exchange for a donation. FMV subtracts from the amount you can claim as charitable giving on your taxes. However, there are exceptions based on the cost of the item and the total amount you gave to the organization. If you have questions, you should consult a tax professional.

Simply put, this means that any products that you receive from Focus on the Family for “free” as part of your Friends of Focus on the Family membership may reduce the total amount of charitable giving you can claim on your taxes. This includes any resources you received when you initially gave and when redeeming the $20 promo code you receive quarterly.