{"id":353940,"date":"2022-08-19T07:44:42","date_gmt":"2022-08-19T12:44:42","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/tax\/federal-taxes\/charitable-contributions.html"},"modified":"2023-09-01T16:30:51","modified_gmt":"2023-09-01T21:30:51","slug":"charitable-contributions","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/tax\/federal-taxes\/charitable-contributions.html","title":{"rendered":"Charitable Contributions"},"content":{"rendered":"\n
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Charitable Contributions<\/h1>\n
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\n By J.P. Finet, J.D.<\/a> | Legally reviewed by J.P. Finet, J.D.<\/a>\n | Last updated\n
\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

\n \n <\/i>\n Fact-Checked\n <\/summary>\n\n
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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n

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Charitable contributions, also known as charitable donations, are gifts made to organizations. The IRS gives them tax-exempt status. <\/p>\n\n <\/div>\n\n

These organizations are often called 501(c)(3) entities<\/a> after the section in the Internal Revenue Code explaining which organizations are exempt from the federal income tax. Exempt organizations include most public charities, such as educational institutions, religious organizations, hospitals, and other groups organized to benefit their communities. These organizations typically receive most of their funding and support from charitable gifts, grants, and contributions from the public.<\/p>\r\n

U.S. tax law<\/a> encourages charitable giving by offering a tax benefit to donors. Donors can take an income tax deduction for the year they donated. That means you can reduce the income the IRS taxes by the contribution amount. You can make contributions in cash or property. The taxpayer deducts the fair market value of the donated property.<\/p>\r\n

Who Can Claim a Charitable Deduction?<\/h2>\r\n

Almost all individual taxpayers and businesses are eligible to claim a deduction for a charitable contribution. But claiming the deduction for a charitable gift only makes sense when they have enough other deductions to make itemizing worthwhile.<\/p>\r\n

For most Americans, the standard deduction is larger than the total of the itemized deductions<\/a> they can claim, so itemizing doesn’t help. The filer’s status determines the standard deduction<\/a>. For 2023, it’s $13,850 for individuals; for married couples filing jointly, it’s $27,700; and for heads of household, it’s $20,800.<\/p>\r\n

During the COVID-19 pandemic, special rules went into place that allowed taxpayers who did not itemize to claim a deduction. They could deduct up to $300 in charitable contributions made during 2021. But 2021 was the only year that the benefit was available.<\/p>\r\n

What Qualifies as a Charitable Contribution?<\/h2>\r\n

Generally speaking, a charitable contribution is anything that is valuable to a qualified charitable organization. This includes money or property in cash, clothing, household items, cars, real estate, securities<\/a>, and other assets or services.<\/p>\r\n

According to the IRS, donations to the following types of entities are tax-deductible as long as they don’t benefit any specific person:<\/p>\r\n