I run a small business and use open source software (OSS). I'd like to give money to the OSS developers to motivate them to keep doing it. I don't get anything in return.
Can I claim such a payment as a business expense? I don't know if it would be considered necessary.
Technically you can "claim" anything you want on your taxes, but this wouldn't be a good idea. You run a high risk of being audited and would probably lose, though really that's up to a judge, (and I am not a lawyer).
Maybe instead of this, you should recognize the income and then, assuming they're an appropriately recognized 501c just deduct the donation (might have to do this on personal side, not certain). This would have the the same effect, but probably less likely to run afoul of the law. Definitely would suggest discussing with your tax professional first though.
