CARES Act & $300 Charitable Donations
So much has happened in the last few months. Fortunately the outcome of certain legislation is for the benefit of nonprofit organizations. The CARES Act added a special benefit for donors of nonprofit organizations. For 2020 any taxpayer can donate up to $300 to a 501c3 nonprofit organization and receive a 100% deduction on their taxes. In the past this was a 50% or 60% deduction and less than 10% of taxpayers would even qualify for a tax deduction for donations. In the past only taxpayers who itemized their taxes could receive the deduction. Donations over $300 from an individual wouldn’t be eligible a 100% deduction in 2020.
NOTE: I’m not an accountant. Taxpayers have differing situations and should consult with an accountant about their tax liabilities and benefits.