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Navarr | 3 years ago
What I believe this Lawsuit is alleging is that CVS promised ADA that they would give them $10m, and CVS is saying that customer donations are part of that $10m.
The other aspect is the tax aspect. What people are concerned about is that a company is profiting off their "donation" which cannot happen, even if they are merely reimbursing themselves.
* Company donates $10 and so does not have to pay the income tax * Customer donates $10 through company. This is $10 of income to the company, which requires the income tax.
In such a scenario, the company gets no financial benefit - though they may get a social benefit in what they're claiming to donate
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