Wondering how the CARES Act affects your charitable tax deductions? Here are a few bullet points outlining some of the nuances for this year:
- In 2020 only, there is a $300 ($600 for couples) universal, above-the-line, charitable contribution deduction.
- For itemizers, in 2020 only, the charitable deduction limitation for cash contributions is raised to 100% of AGI, but not for a Donor Advised Fund. Regular limitations for non-cash contributions still apply.
- RMD’s for IRA’s are suspended for 2020. You can still make a direct Qualified Charitable Distribution (QCD), but it might pay to wait until right after the new year.
- As always, consult your tax advisor.
You can find more information about the CARES Act HERE