Policy Statement
Table of Contents
Eligibility
- Computers and IT equipment (including cell phones and peripheral devices) purchased using Dartmouth non-sponsored funds.
- Computers, servers, switches, or algorithm-driven devices gifted or transferred to or from Dartmouth. Consult with the Office of Sponsored Projects, your Grant Manager, and the Fixed Asset/Surplus Property Administrator before initiating this process.
- Note: This process is not appropriate for computers purchased using sponsored funds (grants), unless specifically noted in the proposal or award. Consult with the Office of Sponsored Projects, your Grant Manager, and the Fixed Asset/Surplus Property Administrator before initiating this process, if the computer was purchased using sponsored funds.
- Note: All sales of Computer Assurance Program (CAP) Program computers are solely processed through The Dartmouth College Computer Store.
Tax Implications of Non-Sale Transfer, Gifts, and donations
- Tangible property with a current market value of $50.00 or greater is considered tax reportable.
- Employees (Dartmouth faculty, staff, fellows, or students) who are paid through Dartmouth Payroll: The current market value of the computer or IT equipment (including cell phones and peripheral devices) will be reported to Payroll as imputed income and the tax will be deducted from the employee's payroll payment.
- Individuals (students/others) who do not work for Dartmouth: The current market value of the computer will be reported to Accounts Payable. If the combined annual total of all monetary and non-monetary income for the individual is $600 or greater, the sum is reported on an IRS 1099 form.
- Individuals who are non-residents of the United States for tax purposes: All gifts or funds given to the individual must be reported through the Finance Center.
Processing Instructions
Initiating Transfer, Sale, Gift, or Donation of a Computer
- Obtain the Current Market Value: Provide the serial number and description of the computer to the Manager at The Computer Store. The Manager will then provide the current market value of the product to the appropriate department administrator or contact.
- Complete the Equipment/Asset Transfer Request Form: With the information obtained from The Computer Store, complete the Equipment/Asset Transfer Request Form. Obtain the required signatures and submit the form to the Fixed Asset/Surplus Property Administrator. This must be done prior to moving forward with the transfer, sale, donation, or gift.
- Backup data and go to Computer Store Repair Shop: Take the computer to The Computer Store Repair Shop with the completed and signed Equipment/Asset Transfer Request Form. A work order will be completed to wipe and reinstall the original operating system. All data will be removed from the computer during this process. The recipient is responsible for backing up any data that they are legally allowed to keep. This data back-up must be done prior to dropping off the computer at The Computer Store.
For the Sale of a Computer
- An applicable fee plus the current market value of the computer will be charged to the recipient when the signed Equipment/Asset Transfer Request Form and computer are dropped off at The Computer Store Repair Shop.
- The Computer Store will collect all payments and require the recipient to complete and sign a Bill of Sale transferring the ownership of the computer.
- The Computer Store will deposit $1.00 plus the value of the computer back into the Department account which confirms the process is complete and creates a record of the transaction.
For Non-Sale Transfer, Gift, or Donation of a Computer
- An applicable fee will be charged to the Department Chart String.
- The Computer Store will require the recipient to complete and sign a Bill of Sale transferring the ownership of the computer.
- The Computer Store will deposit $1.00 back into the Department account which confirms the process is complete and creates a record of the transaction.
Reporting Non-Sale, Transfer, Donation, or Gift of Tangible Property
- Donations or gifts to Dartmouth employees (faculty, staff, fellows, or students)
- Complete the General Request eForm to report all Gifts or Transfer of tangible property.
- Select "HR/Payroll/Tax Reporting Submittal" from the Request Type dropdown menu.
- Provide the Employee Name, NetID, and description of the equipment and current market value in the Request Explanation field.
- The Finance Center will route Employee requests to the Payroll Office.
- The current market value of the equipment will be recorded as imputed income and taxes withheld (deducted) from the employee's payroll payment.
- Donations or gifts to Dartmouth students and non-employees:
- Complete the General Request eForm to report all gifts or transfer of tangible property.
- Select "HR/Payroll/Tax Reporting Submittal" from the Request Type dropdown menu.
- Provide the recipient's name, include NetID for students, address, and description of the equipment and current market value in the Request Explanation field.
- Provide the Social Security number in the designated Social Security# field.
- The Finance Center will route non-employee requests to Accounts Payable.
- For US Residents, Tax Purposes: If the current market value alone or combined with other taxable payments issued to the individual totals $600 or more within a calendar year, the sum will be reported to the IRS and individual on the IRS 1099-MISC.
- For Non-Residents, Tax Purposes: The tax associated with the current market value of the computer will be reported on the IRS Form 1042-S.
Additional Guidance
Forms
Contacts
Fixed.Assets@Dartmouth.edu
The.Computer.Store@dartmouth.edu