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Tax Incentives for 2020 Charitable Contributions

Sunday, October 25, 2020 1:39 PM | Carille Greenberg Ribley

There's still time for potential donors (corporate and individual) to take advantage of the CARES Act tax incentives for charitable contributions! 

Here's the scoop:

-  The new law allows all taxpayers to take a charitable deduction of up to $300, even if you do not itemize.

-  For those who do itemize their deductions, the new law allows for cash contributions to qualified charities to be deducted up to 100% of your adjusted gross income for the 2020 calendar year.

-  The new law temporarily suspends the requirements for required minimum distributions (RMD) for the 2020 tax year. Many donors use their RMD to make a gift from their IRAs. If you are 70½ or older, you can still make a gift from your IRA or name us as a beneficiary. In addition, there are some new ways you can receive financial benefits and help the charities you care about.

-  The new law increased cash contribution limit from corporations from 10%- 25% in 2020. Charitable deductions from corporations in excess of 25% may be deducted for up to 5 years under the usual limits.

Carille Greenberg Ribley/The Grant Whisperer Touch                                         

Source: Neumann University

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