A 501c3 thrift shop frequently gets items that can not, mainly because of poor quality, soilage etc be sold in the store. Can these items be given to another store such as goodwill or given to a person who may give them away or sell at a garage sale.

The items can be given to another non-profit, such as Goodwill, no problem. But they should not be given to an individual specifically to sell unless that person agrees to give the proceeds back to the thrift shop. As for giving to people for their own use - that would be OK as long as there is no favoritism regarding who gets what. For example, I think it would be OK to have a "rummage pile" on a table in the shop that anyone is available look through, first come first serve. There should be a written policy on who decides what items can be given away, and under what criteria.

It would also depend on the conditions by which the item was donated.

Where I live it depends on the thrift store it's donated to. If they can't use it or sell it, because of the shape it's in, too poor for them to sell, they toss it. By giving it to another charity or thrift store, they are assuming some liability if someone is injured by an item, or the item is defective.

It's easier to just toss it if it's unusable.