DISCLAIMER: The information provided herein does not, and is not intended to, constitute personalized financial or legal advice. The contents of the article are for general informational purposes only, and should not be relied acted upon without specific professional legal or financial advice, based upon an individual’s situation.
We can help each other before December 31st 2020...
if you have had a good year, check with your tax professional and learn how you may save thousands .
Tax Planning Consideration #2
For those who do itemize their deductions, the new law allows for cash contributions to qualified charities such as ours to be deducted up to 100% of your adjusted gross income for the 2020 calendar year. The lifted cap on annual contributions (increased from 60% to 100% of AGI for 2020) helps those who itemize.
Tax Planning Consideration #3
The new law temporarily suspends the requirements for required minimum distributions (RMD) for the 2020 tax year. This probably comes as a relief to many of you who would have had to withdraw a greater percentage of your retirement accounts. Many of donors use their RMD to make a gift from their IRA. If you are 70½ or older, you can still make a gift from your IRA or name us as a beneficiary. In addition, there are some new ways you can receive financial benefits and help organizations like us.
Tax Planning Consideration #4
New Deduction Available: Up to $300 per taxpayer ($600 for a married couple) in annual charitable contributions. This is available only to people who take the standard deduction (for taxpayers who do not itemize their deductions). It is an “above the line” adjustment to income that will reduce a donor’s adjusted gross income (AGI), and thereby reduce taxable income. A donation to a donor advised fund (DAF) does not qualify for this new deduction.
We can help each other before December 31st 2020...
if you have had a good year, check with your tax professional and learn how to benefit most with your contribution gift.
