Contributions or gifts to the Local Board, the Ohio Association of REALTORS, and the National Association of REALTORS are not deductible as charitable contributions for federal income tax purposes. However, dues payments may be deductible as ordinary and necessary business expenses subject to restrictions imposed by federal law regarding association lobbying activities. It is estimated that the nondeductible portion of your dues is as follows:
Non-Deductible Percentages: The Tax Reform Act of 1993 made the portion of dues paid to organizations which is spent to lobby the State and Federal governments non-deductible for income tax purposes and requires this to be disclosed to members on their dues invoice or the organization must pay an excise tax.
For 2016 OAR dues of $130, 11% or $14 is non-deductible for the member’s income tax due to OAR lobbying efforts. NAR computes 42% or $50 to be non-deductible. NAR’s $35 public awareness assessment does qualify as deductible dues. The total OAR and NAR non-deductible portion of dues is $64.
Active Military Duty: The waiver of OAR and NAR dues for REALTORS and their spouses called into active military duty, originally approved for 2002 dues after the 9/11/01 tragedies, has been extended to cover 2014 dues.