Before Deducting A Donation
Many people every year, give to charities of their
choice. Whether it is in the form of cash or property, people give freely and
in some cases they wish to claim that gift as a deduction on their Tax Return
for that year. If that is the case, here are some points to keep in mind, in
order to make that possible.
The donation must be given to a qualified charity. Check their status before parting with your
funds. Political organization, individuals, and political candidates do not
qualify. For donations of $250 or more,
there must be a receipt from the charity and a description of what was given.
If a Taxpayer was given something as result of the donation, this is a Benefit in Return. This might be
tickets to events, merchandise, meals, or other similar things. In this case,
the deduction would be reduced by the amount of benefits given. There are other
factors to consider, and a qualified Tax Professional can help Taxpayers
through this process.
Comments
Post a Comment