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The standard deduction is a fixed dollar amount reducing your taxable income, varying by filing status. ... in order to have enough itemized deductions for your donations to be tax deductible ...
The Tax Cuts and Jobs Act of 2017 trimmed tax rates and significantly boosted the standard deduction, thus greatly reducing the number of taxpayers eligible to benefit from charitable deductions.
This charitable giving can help cut back on your taxes.
For vehicles valued at less than $500, the deduction amount comes from the donor's own estimate of the car's value, even if the charity receives less money from its sale. Deductions greater than $500 are limited to the proceeds of selling the vehicle, usually at auction. The U.S Internal Revenue Service advises that starting in 2005:
If a donor is contributing property that would have yielded a long-term capital gain in a sale, then the deduction for the contribution is limited to 30% of donor's adjusted gross income in the year of donation if the donee is a public charity, and limited to 20% if the donee is a private foundation. Contributions over the respective AGI ...
Child and dependent care credit: Depending on your filing status, you may be able to claim up to $3,618 for day care or similar costs for a child under 13, an incapacitated spouse or parent, or ...
Capital gains tax in Washington (state) Car donation; Carryover basis; Character (income tax) Charitable contribution deductions in the United States; Charitable Remainder Annuity Trust; Charitable remainder unitrust; Child and Dependent Care Credit; Child tax credit; Child tax credit (United States) Child Tax Credit Improvement Act of 2014
By claiming charitable donations as tax deductions on Form 1040, Schedule A, Itemized Deductions, instead of claiming the standard deduction, you could even lower your taxable income.
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related to: child dependent tax deduction amount for car donation