Our response to new COVID-19 mitigation

News

11.17.20 | Abe Doncel

The CARES Act Charitable Donations

The Cares Act (Coronavirus Aid, Relief, and Economic Security) encourages individuals and corporations to increase their giving this year by increasing charitable deduction thresholds.

  • Individual Itemizers: Givers who itemize deductions are able to increase giving to the church/charitable organizations for cash gifts made in 2020. Unique to this year only, you are able to deduct up to 100% of your 2020 adjusted gross income.
  • Individual Non-Itemizers: Givers who take the standard deduction are able to deduct up to $300 for cash gifts made in 2020, in addition to the standard deduction.
  • Corporations: The CARES act also increases the limit on deductible corporate charitable gifts from 10% to 25% of the corporation’s taxable income. The additional 15% deduction is for cash gifts only.

 

Detailed information here.

IRS information here.

*Please seek the advice of legal counsel, a qualified accountant and/or financial advisor to determine if any of these tax-advantaged strategies are appropriate for you and your individual income tax circumstance.