Tax break for charitable donations packs extra incentive for giving this year

Charitable giving during the holiday season this year takes on a new, happier meaning when it comes to tax deductions.

Typically, most people aren't able to get a tax break when they donate money to a charity if they're claiming the standard deduction on their federal income tax returns. And nearly 9 out of 10 taxpayers are taking that standard deduction these days.

Yet pandemic relief in Congress created a special but temporary break for giving money to a qualified charity that applies to people who do not itemize. 

A married couple taking the standard deduction is allowed to claim up to $600 for cash contributions made to qualifying charities in 2021, if filing a joint return. It's a temporary break, which is set to expire on Jan. 1.

Susan Tompor | USA Today

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