Manager on a little league team asks for donations from businesses to raise money for trophy party. We sell tickets for drawing and give away all donated prizes. Donations are products from the from their company - tickets, passes, etc. to their establishments. Monies collected from drawing pay for all kids trophies, parent participation awards, and all the food, and left over monies is then donated back to the little league either by purchasing, i.e., barbeque or bat holders for the dugout.
Some donators ask for a 501(3)(c). We do not keep track of donated items. This year I am a board member to the little league.
Will this effect/jeopardize the little leagues taxes or 501(3)(c) status?