> It is an extremely tacky move to assign a value to something you're giving away for free.
Actually in the UK it's an encouraged thing by HMRC.
HMRC would rather see you invoice a company for £5k and then to write it off as a gift, than to not see records at all.
In the case of giving to charities via this method, the government will go so far as to give you a benefit on your declared level of corporate tax as a direct result of giving something to a charity and invoicing in this way.
You might internally consider that to be a marketing activity, or a social/community/sustainability activity, but the government cares not... they strongly want to see benefits and gifts recorded and will (in some cases such as charities, non-profits, etc) will reward you by taking less tax.
That's UK specific of course, but point is: the UK government and tax office don't view it as tacky. And it's a good business incentive to offer such benefits to charities and other specified types of organisation.
Actually in the UK it's an encouraged thing by HMRC.
HMRC would rather see you invoice a company for £5k and then to write it off as a gift, than to not see records at all.
In the case of giving to charities via this method, the government will go so far as to give you a benefit on your declared level of corporate tax as a direct result of giving something to a charity and invoicing in this way.
You might internally consider that to be a marketing activity, or a social/community/sustainability activity, but the government cares not... they strongly want to see benefits and gifts recorded and will (in some cases such as charities, non-profits, etc) will reward you by taking less tax.
That's UK specific of course, but point is: the UK government and tax office don't view it as tacky. And it's a good business incentive to offer such benefits to charities and other specified types of organisation.