IRS TAX TOPIC - Charitable Contributions Its GREAT to give charitable contributions! Be careful to understand if they are even deductible on your Tax Return before you do(if that is the reason you are donating). Charitable contributions are only deductible if you itemize deductions. If you elect the standard deduction or use the 1040-EZ form you will NOT be able to claim a tax deduction. To be deductible, you must make charitable contributions to qualified organizations. Payments to individuals are never deductible. You can deduct only the amount that exceeds the fair market value of the benefit received if your contribution entitles you to merchandise, goods or services, including admission to a charity ball, banquet, theatrical performance, or sporting event. For a contribution of cash, check or other monetary gift (regardless of amount), you must maintain as a record of the contribution a bank record or a written communication from the qualified organization containing the name of the organization, the amount and the date of the contribution. In addition to deducting your cash contributions, you generally can deduct the fair market value of any other property you donate to qualified organizations.
Posted on: Fri, 09 Jan 2015 21:32:07 +0000
Trending Topics
Recently Viewed Topics
© 2015