In response to the COVID crisis, Congress recently enacted several new tax law changes for 2020.
The CARES ACT encourages charitable giving for non-itemizers. The new tax law provides:
A new deduction for charitable donors who do not itemize when filing their tax returns. If you do not itemize but make a gift to charity, you will be allowed to take a special tax deduction, up to $300, to reduce your tax liability.
The CARES ACT encourages charitable giving for itemizers. The new tax law provides:
An increase in the deduction limit up to 100% of a donor’s annual income for cash gifts (previously the deduction was capped at 60% of annual income). If you make a gift you will be able to deduct more this year.