3abn Store, Donations vs Fixed Prices? Options

[runner4him]

I am wondering.........if you go to the 3abn website and click on books, you will find the set of Uncle Arthur's Bible Stories sold for a donation of only $99 with no charge for shipping. This concerns me (I am a former Colporter) that the drastically reduced price of these particular books will take away sales from Colporters and Review and Pacific Press (the website states they come from the Phillipines). I called and asked about the listed price which states "$99 - donation". I was told "it is a fixed price"....you cannot give a lower amount...."it is fixed". How can 3abn be selling our books so cheap and how can they claim it is a donation when it is a fixed price? Wondering how do they reconcile all this on the books? Maybe someone out there can add some light on this. I started a new thread since I was not sure where to put this.

[Observer]

I am wondering.........if you go to the 3abn website and click on books, you will find the set of Uncle Arthur's Bible Stories sold for a donation of only $99 with no charge for shipping. This concerns me (I am a former Colporter) that the drastically reduced price of these particular books will take away sales from Colporters and Review and Pacific Press (the website states they come from the Phillipines). I called and asked about the listed price which states "$99 - donation". I was told "it is a fixed price"....you cannot give a lower amount...."it is fixed". How can 3abn be selling our books so cheap and how can they claim it is a donation when it is a fixed price? Wondering how do they reconcile all this on the books? Maybe someone out there can add some light on this. I started a new thread since I was not sure where to put this.

Here are my thoughts on the above:

1) If the price is fixed, 3-ABN, depending on IL law, may be required to return to the State of IL, sales tqxes on all such.

2) If the price is fixed, it is not a donation, and is probably not deductable on one's tax returns. In any case, tax deductable reciepts should only be issued for what is not "fair market value." I recently paid a charitable organization $70.00. I recieved this week a tax deductable reciept. It stated that after the deduction for services recieved, my allowable Federal tax deduction was $42.00. I.e. They had determined that for my $70.00, I had recieved benefits worth $28.00. So only $42.00 was deductable.

3) As some know, and others do not, the books sold by colpourters are published and sold outside of the United States for less than they are sold in the U.S. If you have a contact in that country, that person may very well be able to purchase those books at that discounted rated. All they have to do then is to ship them to the U.S. where they can be sold for a lower amount.

However, there is a problem with this. In order to legally do so, those shipments to the United States may be re quired to be labled as commercial shipments, with payments of custom duties, if required. In addition, the owner of the trademark/copyright, in the United States may have the legal right to restrict their entry into the U.S. In such a case they will not be allowed entry without such a release.

3) Shipments that enter the U.S. by other means, and/or without proper labeling as commercial shipments may be subject to consfication and/or criminal/civil sanctions.

NOTE: I am not trained in legal matters. I have no expertese in customs issues and the entery of goods to the United States for either personal or commercial purposes. I want to be very clear than I do not intend to imply that any books/goods sold by 3-ABN, or anyone associated with 3-ABN have entered the United States by any illegal means, or by any scheme intended to evade the payment of required customs duties, or to violate trademark/customs duties. Neither do I intend to imply that there is any irregularity in the sale of these items in the United States, or that any reciepts issued do not comply with laws that related to such reciepts, or that any who reicieve such reciepts use then in any irregular/illegal manner. Persons who are interested in such matters should seek the advice of competent legal advisors.

[Truly Blonde]

Is it possible that these books could be on sale?

We all know that the ABC has sales where they offer things at reduced prices. It is also possible that they need to sell some of their inventory. I don't know what coulporters sell their books for but every book no matter who sells it would have a mark up for a profit.

When you buy things at a store there is a mark up. At the end of year sales things can be marked down as much as 75% and the stores are still making a profit.

If 3abn was having a financial problem it would make sense to sell off inventory cheaply while still making a profit (a smaller profit then usual) for two reasons, 1. reduces inventory, and 2 helps the cash flow.

jmo

[LaurenceD]

Here's a guideline for Illinois sales tax exemption, for Not-for-profit organizations, for both buying and selling. As you read the entire document, keep in mind whether the organization

If your organization is a not for profit charitable, religious, educational, cultural or arts
organization it may be able to get an exemption from Illinois sales tax for some or all of the
things your organization buys and sells. The following are answers to some of the basic
questions about how the application process works and what an exemption can do for your
organization.

What must a charitable organization prove to the Department of Revenue?
• The organization has no stock or shareholders;
• The organization earns no profit, but instead gets the majority of its operating funds from
public and private charity;
• The organization provides no gain or profit to any person connected with it. All of the
organization’s funds must be used for its mission;
• The organization offers its benefits to everyone who needs and applies for them; and
• There are no obstacles in the way of those who need the services offered by the
organization. For example, residency requirements and membership fees may be obstacles
in the way of those who need your organization’s services.

http://www.clccrul.org/templates/UserFiles...ts/salestax.pdf

Some organizations, such as 3abn, have provided some case law...
http://www.revenue.state.il.us/LegalInform...s/st/ST07-7.pdf




What I started to say above is keep in mind whether the organization is by law charitable, and whether or not it operates with a view to profit.

[PeacefulBe]

I don't want to add misinformation, but I seem to remember hearing that these books were donated to 3abn some time ago and then spoken of again fairly recently as still being available. When they were spoken of recently, I believe it was discussed that they are not made of the same quality materials as the same books printed here in the US.

[Rosyroi]

I don't want to add misinformation, but I seem to remember hearing that these books were donated to 3abn some time ago and then spoken of again fairly recently as still being available. When they were spoken of recently, I believe it was discussed that they are not made of the same quality materials as the same books printed here in the US.

I agree with you. Seems like I heard that also.

Rosyroi

[mozart]

on a 3abn live prog, DS said that a large quantity of these books had been donated to 3abn. he showed them and talked about them and said they would be selling them for only $99. i never got the "for a donation of $XX.XX " that Christian Ministries do. how can it be a donation if it is a fixed price?
they all do it tho'. so i guess it has to be legal.

I am wondering.........if you go to the 3abn website and click on books, you will find the set of Uncle Arthur's Bible Stories sold for a donation of only $99 with no charge for shipping. This concerns me (I am a former Colporter) that the drastically reduced price of these particular books will take away sales from Colporters and Review and Pacific Press (the website states they come from the Phillipines). I called and asked about the listed price which states "$99 - donation". I was told "it is a fixed price"....you cannot give a lower amount...."it is fixed". How can 3abn be selling our books so cheap and how can they claim it is a donation when it is a fixed price? Wondering how do they reconcile all this on the books? Maybe someone out there can add some light on this. I started a new thread since I was not sure where to put this.

This post has been edited by mozart: May 16 2007, 07:57 PM