What must a donation agreement include?

A complete Donation Agreement should identify donor and recipient, describe the gift in detail, state any restrictions or conditions, designate valuation and effective date, and include signature blocks. Attach appraisals, transfer instructions, and any required acknowledgments for tax substantiation to support compliance.

Can a donation agreement be e-signed?

Yes. Under the ESIGN Act and state UETA laws, electronic signatures are generally enforceable for donation agreements. Exceptions may apply to certain property transfers or state-specific recording requirements; verify if notarization or recorded deed is required before relying solely on e-signature.

When is notarization required for gifts?

Notarization is uncommon for simple cash gifts but may be required for real property conveyances, deed recordings, or state-specific transfer procedures. If property is involved, consult the county recorder or an attorney to confirm notary and witness requirements prior to closing and recording.

What records should donors keep?

Donors should retain a copy of the signed Donation Agreement, written acknowledgement from the recipient showing amount or description of the gift, and any appraisals or valuation evidence for noncash donations. Keep these records with tax returns to support deduction claims in case of IRS inquiry.

How long must organizations retain agreements?

Organizations should retain executed agreements for the duration of the agreement plus at least three years, longer where statutes or industry rules require it. For healthcare donors, follow HIPAA six-year retention; for tax-related matters follow IRS guidance on record retention.

Who can sign for an organization?

Authorized signers typically include officers, board members, or designated staff with documented signing authority. Verify organizational bylaws or board resolutions, and include printed names and titles in the signature block to establish authority and support enforceability in audits or legal disputes.

Electronic Signature
Templates
Finance
Donation Agreement Form

Donation Agreement Form

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

DONATION AGREEMENT FORM

Parties and Effective Date

This Donation Agreement (the Agreement) is made effective as of by and between:

Donor — Full legal name Donor — Address and contact Donor — Entity type (select all that apply) Individual Corporation Trust Other (specify below)

Recipient — Full legal name (organization) Recipient — Address and contact Recipient — Federal Tax Identification (if applicable)

Donation Description and Terms

Donor agrees to transfer and Recipient agrees to accept the following gift pursuant to the terms of this Agreement.

Type of gift Cash / Monetary gift Tangible personal property / In-kind Real property / Real estate interest Other If cash, amount If non-cash, description of property (attach schedule if necessary)

Itemized Donation Schedule (if applicable)

Provide an itemized schedule for multiple items or multiple contributions. Enter estimated fair market value for each donated item.

Description	Quantity	Estimated FMV	Total

Schedule totals or aggregate donation amount

Delivery, Transfer and Acceptance

Method of transfer: Check Wire transfer In-person delivery Other

If other, specify delivery instructions Recipient acceptance (initial required)

Use, Restrictions and Acknowledgements

Donor designates the intended purpose or restriction for the gift. Recipient agrees to use the gift in material compliance with such designation and to notify Donor of any circumstances that materially frustrate the intended purpose.

Purpose or restrictions

Donor represents and warrants that Donor is the lawful owner of the donated property and has full right and authority to make this gift, that the property is free of liens and encumbrances except as disclosed in writing, and that the information supplied in this Agreement is true and correct. Recipient acknowledges that acceptance is subject to its gift acceptance policies and reserves the right to decline any gift that is inconsistent with its mission or that it determines cannot be lawfully or prudently accepted.

Appraisal, Valuation and Tax Matters

Donor acknowledges that Recipient does not provide tax or legal advice and that any determination of tax deductibility, appraisals and valuation of non-cash gifts are the Donor's responsibility. For non-cash gifts requiring an appraisal, Donor agrees to supply any required appraisal at Donor's expense prior to transfer if requested by Recipient.

Representations, Indemnity and Liability

Each party represents that it has the authority to enter into this Agreement. Donor shall indemnify and hold harmless Recipient from and against any claims, losses or liabilities arising out of Donor's breach of the representations and warranties contained in this Agreement, including any claims arising from inaccurate descriptions of title, liens, or material nonconformity not disclosed in writing at the time of transfer. Recipient's liability under this Agreement shall be limited to willful misconduct or gross negligence.

Notice and Communications

All notices required or permitted under this Agreement shall be in writing and delivered to the addresses stated below (or to such other address as either party may designate in writing).

Notice address for Donor Notice address for Recipient

Governing Law; Amendment; Entire Agreement

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof. This Agreement may be amended only by a written instrument signed by both parties. This Agreement shall be governed by and construed in accordance with the laws of the state indicated below.

Governing law (state)

Miscellaneous Provisions

If any provision of this Agreement is held unenforceable, the remaining provisions shall remain in full force and effect. Headings are for convenience only and do not affect interpretation. Neither party may assign its rights or obligations under this Agreement without the prior written consent of the other party, except that Recipient may assign to an affiliate or successor organization that expressly assumes Recipient's obligations hereunder.

Acknowledgements and Execution

The undersigned person(s) signing on behalf of Donor and Recipient each represent and warrant that they are authorized to execute this Agreement on behalf of the respective party and that the information herein is true and correct.

Donor

Printed Name:

By:

Date:

Recipient

Printed Name:

By:

Date:

What the Donation Agreement Form Is and When It’s Used

A Donation Agreement Form is a written contract documenting the transfer of cash, property, or other assets from a donor to a recipient organization or individual. It records the donor and recipient identities, a description of donated items or amounts, the effective date, any restrictions or conditions on use, acknowledgment language for tax substantiation, and signature blocks for authorized parties. Donation agreements may also address valuation, warranties, liability allocation, and applicable governing law. A clear agreement reduces disputes, supports charitable tax reporting, and documents the parties' expectations for recordkeeping and compliance.

Why a Clear Donation Agreement Matters

Use a Donation Agreement Form to document the gift terms, protect donor and recipient rights, and create a substantiation record for tax purposes. Clear, written terms reduce disputes, support compliance with charitable reporting, and provide an auditable record for internal controls and donors' records.

Who Typically Prepares and Signs These Forms

Typical users include donors, nonprofit staff, legal counsel, and fund managers responsible for gift acceptance and documentation.

Nonprofit development teams responsible for intake, valuation, and donor acknowledgments.
Donors and their advisors documenting gift restrictions, valuation method, or transfer conditions.
Legal or finance departments ensuring enforceability, tax substantiation, and compliance with state law.

Select the parties and signers based on the transaction complexity; simple gifts need minimal review while property gifts typically require legal and title checks.

Core Elements Every Donation Agreement Should Include

Essential Donation Agreement Form elements define parties, describe the gift, state conditions, assign valuation and tax language, and provide signatures and governing law.

Parties

Identify donor and recipient by full legal name, contact details, and organizational authority. Include EIN or tax ID for charitable recipients to support tax reporting and verification.

Gift Description

Describe donated property precisely: cash amounts, securities with ticker and account info, real property address and parcel, or tangible items with serial numbers and condition notes.

Restrictions

State any donor-imposed restrictions, duration, permissible uses, investment limits, or conditions precedent; include reversion or modification procedures if restrictions become impracticable and contact protocol for amendments.

Valuation

Specify valuation method for noncash gifts, who performed appraisal, date of appraisal, and whether donor or recipient bears valuation responsibility, including supporting documentation.

Representations

Include donor warranties about ownership, authority to transfer, absence of liens, and any material defects; state recipient acceptance terms and liability limitations per applicable law.

Signatures

Provide signature blocks for donor, recipient representative, and witnesses or notary if required; include printed names, titles, dates, and contact information and add an acknowledgment clause for tax substantiation where appropriate.

Step-by-Step: Completing a Donation Agreement

Follow these steps to complete a Donation Agreement Form accurately and preserve tax substantiation and legal enforceability.

01

Gather details: Collect donor, recipient, and gift specifics.
02

Describe gift: Provide exact description and valuation method.
03

State terms: Include restrictions, uses, and transfer conditions.
04

Sign and retain: Obtain signatures and store executed original securely.

Configuring an Online Donation Agreement Workflow

Configure online form fields, signer sequence, and authentication to match your organization's gift acceptance policies and compliance needs.

Form Field Name and Configuration Setting	Configuration action or option for each field
Signer order and routing sequence	Set signing order and role-based routing
Authentication level and verification method	Choose email, SMS code, or KBA
Field types and conditional logic	Add signature, date, text, checkbox, or formula fields
Retention policy and access permissions settings	Set who can view, edit, or archive executed forms

Typical Routing and Processing Flow

Typical routing for Donation Agreement Forms moves from drafting to approval, signing, and final storage with notifications at each step.

Draft: Prepare the agreement with required fields completed.
Review: Legal and finance review terms and valuation.
Sign: Collect signatures electronically or with notarization if needed.
Archive: Store executed agreement and supporting documents securely.

Digital Signing and Platform Considerations

Digital signing requires authentication, tamper-evident records, and secure storage aligned with your compliance obligations and audit trails.

File formats: PDF, DOCX, and common formats
Integrations: Connect to CRM and cloud storage
Authentication: Email, SMS, or two-factor available

Essential Information to Include

Donor Name: Full legal name required

Recipient Name: Organization legal name required

Gift Description: Provide clear itemization and value

Effective Date: Enter as MM/DD/YYYY format

Consideration: Monetary amount or item details

Signature Block: Authorized signer and date

Timing and Key Deadlines to Track

Key timing points relate to gift effective date, tax-year substantiation, appraisal deadlines, and any conditional use schedules.

Declared agreement effective date and start:

Enter MM/DD/YYYY; determines tax-year for donor deduction.

Donor receipt and acknowledgment timing:

Provide written acknowledgment when gift exceeds $250.

Qualified appraisal deadline for noncash gifts:

Attach appraisal contemporaneous with gift for items over IRS thresholds.

Conditional use and restriction schedule:

Record required use periods and review dates for restricted gifts.

Donor copy and tax record retention:

Retain signed agreement for donor tax substantiation and organization audits.

Common Pitfalls to Avoid

Incomplete or vague gift descriptions delay acceptance and can invalidate donor tax substantiation, especially for noncash items without serial numbers, addresses, or appraisal references.
Missing donor identification, wrong legal names, or absent EINs complicate IRS reporting and may trigger backup withholding or disallowance of deductions.
Failing to document restrictions, reversion clauses, or stewardship requirements increases legal risk and may breach donor intent or grant agreements.
Relying on handwritten or unscanned records, or neglecting to secure original signed copies, impairs audit readiness and long-term retention compliance.

Consequences of Incorrect or Incomplete Agreements

Tax disallowance: Donor deduction denial

Reputational harm: Public disputes or donor loss

Legal exposure: Breach claims or indemnity

Valuation risk: IRS challenge, penalties possible

Recordkeeping fines: Failure to retain may incur fines

Delayed transfers: Property transfers may be void

Examples: How Donation Agreements Solve Real Problems

Real-world examples show how Donation Agreement Forms reduce risk and document gifts across types—from cash to real property—helping donors and recipients.

University Gift

A university accepted a mixed gift of cash and rare books and needed clear terms for conservation and donor recognition.

Restricted use for preservation and digital access.
The Donation Agreement specified valuation, conservation responsibilities, and naming rights, which enabled the university to document the gift for IRS substantiation, plan conservation budgeting, and honor donor conditions without operational ambiguity.

Property Donation

A donor transferred a vacant lot to a local nonprofit to support affordable housing, requiring a clear conveyance and liability allocation.

Deed transfer and title review were required.
The agreement included a legal description, title insurance requirement, a reversion clause if development failed, and signed acknowledgments; this preserved donor intent, enabled recording, and reduced post-transfer disputes for the nonprofit.

Practical Tips for Accurate, Efficient Completion

Practical practices improve enforceability, tax compliance, and operational use of Donation Agreement Forms across organizations.

Use standardized templates and approvals

Adopt a vetted template that reflects gift acceptance policies, routing approvals, and required attachments. Standardization reduces drafting errors, speeds processing, and ensures consistent donor acknowledgments and internal audit trails across fundraising teams.

Require valuation documentation for noncash gifts

Mandate appraisals or market valuation evidence for high-value noncash gifts. Define thresholds that trigger third-party appraisal to protect donors and recipients from IRS challenges and to support accurate financial reporting.

Define restriction and reversion procedures

Explicitly state how donor restrictions are handled, governance approvals required to accept restricted gifts, and steps for reversion or modification if purposes become impracticable, including required notices and amendment thresholds.

Secure originals and digital backups

Store executed originals in a locked physical file and maintain encrypted digital copies. Document access permissions, retention schedules, and who may certify copies for auditors or state regulators to prevent unauthorized disclosures.

eSignature Vendor Comparison for Executing Donation Agreement Forms

Comparison of common eSignature options for executing Donation Agreement Forms; signNow listed first per product pricing and compliance attributes.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial, no credit card required	Contact vendor for trial details	Contact vendor for trial details	Contact vendor for trial details	Contact vendor for trial details
Bulk Send	Yes — available on Business Premium plan	Available on select plans	Available on select plans	Available on select plans	Not available on standard plans
Audit Trail	Yes — full audit trail included	Yes — audit trail included	Yes — audit trail included	Yes — audit trail included	Yes — audit trail included
HIPAA Compliant	Yes — BAA available on request	Yes — BAA available on request	Yes — BAA available on request	No — HIPAA not supported	No — HIPAA not supported
Envelope Cap	No envelope cap; unlimited envelopes per account	Limited to 100 envelopes per user per year	Varies by plan; contact vendor for limits	Varies by plan; contact vendor for limits	Varies by plan; contact vendor for limits

FAQs and Troubleshooting for Donation Agreement Forms

Answers to frequent questions about completing, signing, and retaining Donation Agreement Forms, and addressing valuation and compliance concerns.

Need help? Contact support

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now