2020 is the year you can give more
Normally individuals who elect to take the standard deduction cannot claim a deduction for their charitable contributions. This year the CARES Act changes this, but there is a catch. Up to $300 CASH donations, made to qualifying charities during 2020, can be claimed as an “above-the-line” deduction. ($150 is married filing separately). The key is that it must be a cash donation and must be made to organizations that are religious, charitable, educational, scientific, or literary in purpose. This means it will directly lower your AGI (adjusted gross income) lowering the taxes you pay and your tax rate.
If you do itemize your taxes and have lots of extra cash lying around then there is another change for you as well. Usually cash charitable contributions are subject to a 60% limit but this has been temporarily suspended. So feel free to give to charity until your entire AGI and tax liability is zero. Just remember to keep all your receipts and any donations/gifts of $250 require additional paperwork.
For more information, people should review IRS Publication 526, Charitable Contributions.
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