What | How | Tax Benefit | When |
Donations up to $300 | Must be cash | For taxpayers that do not itemize, it is an Above-the-Line deduction | 2020 and continuing for 2021 |
Donations up to $600 by spouses | Must be cash | Updated from 2020 for married couples filing jointly. Both spouses can take a deduction for combined donations up to $600 Above-the-line, non-itemizing returns | Beginning in tax year 2021 |
Large donations of cash by individual donors that itemize | Must be cash | Donors can deduct up to 100% of their Adjusted Gross Income, itemized | 2020 and continued for 2021 tax filing |
Donations from corporations | Must be cash | Corporations can deduct up to 25% of taxable income | 2020 and continued for 2021 tax filing |
Required Minimum Distributions | Sent directly from the client’s retirement account to the charity | Donating Required Minimum Distributions keeps the withdraw from being counted as ordinary income | On-going, but RMDs now begin at age 72, unless previously commenced |