With the largest tax break, the donor can take up to twice the adjusted tax basis of the donated goods. There is a bit of a hitch to all of this. Computer and software donations without teacher skills are less than useful in education. Medical supplies given to a non-profit without adequate storage and distribution capacity risk simply spoiling in a warehouse. The more complicated or sophisticated the product, the greater the problem.
Recipient capacity is the key to product effectiveness.
The corporate world, however, is becoming increasingly interested in the effectiveness of its product donations. Donors with sophisticated products are becoming equally sophisticated in their approaches. Apple Computer, for example, sponsors competitions among non-profits to develop new ways to use its technology. U.S. West uses philanthropy to point to technologies that lie in the future. Software donations are increasingly coming along with the technical assistance that non-profits need to adapt and use it effectively.