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What tax benefits do I receive if I donate to the Irving Chorale?
Because the Irving Chorale is recognized by the IRS as a non-profit 501(c)3 organization, you are able to deduct your donations to the Chorale from your tax bill. You must, of course, retain proof of your giving and be able to itemize deductions in order to enjoy the tax deduction.
Can everyone receive the tax benefit?
If you are able to itemize your deductions on your annual tax return, you are able to take advantage of the charitable giving deduction.
How do I know I can itemize my deductions?
Your total itemized deductions must exceed the standard deduction already given to you by the IRS. Currently, the standard deductions are: | Single or Married filing separately | $5,150 | | Married filing jointly or Qualifying widow(er) | $10,300 | | Head of household | $7,550 |
For more information on standard deductions, view this IRS Publication What things can be counted as itemized deductions?
Some examples of income tax deductions are: medical and dental expenses that exceed 7.5% of your adjusted gross income (AGI); taxes and interest you paid; charity donations; casualty and theft losses; investment, job-related, or income tax preparation expenses that exceed 2% of your AGI, as well as other miscellaneous itemized income tax deductions.
How much of my gift is tax-deductible?
You may deduct any amount given to a charity that exceeds the market value of any item you received. For example,
• If you give a donation without receiving anything in return, you may deduct 100% of your gift.
• If you go to a charity auction, you may deduct any amount above the market (retail) value of the goods/items you received.
• If you give a donation and receive a "thank you" gift, you must deduct the value of the "thank you" gift from your donation; the amount remaining after the deduction is tax-deductible.
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