April 1, 2017
People give to charity for many heartfelt, altruistic reasons. But as evident by the surge in online gifts flowing through our site at the end of the year (33% of the money processed via our Giving Basket in 2017 took place in the last week of the year), the tax benefits of giving do impact our decision to support charities. We shouldn’t take issue with donors who are motivated by the tax benefits of giving. In fact, many worthy charities are funded by donors who are able to make larger gifts as a result of the tax deductions they later claim.
But before you prepare your tax return, you should know that the government continues to be concerned with taxpayers inflating the value of their gifts. In recent years, new laws have been passed to curb those who abuse the spirit of such tax breaks. And the IRS continues to scrutinize claims for charitable deductions to make sure taxpayers are entitled to such claims.
To help you maximize the tax benefits of your charitable endeavors and avoid making a false claim, Charity Navigator offers the following tips.
Keep in mind that the above rules are predicated on the following conditions.