Are Charitable Deductions Going To Be Wiped Out Under Trump?

For many American families who prepare for year end tax planning, no discussion is complete without talking about charitable contributions.   Many families make charitable contributions by tithing a percentage of their family income, giving cash to local charities, or they end up taking non-cash items from their household and donating them to a worthy charity.  With the potential shake up in the tax law under a Trump regime, will you have your charitable contributions completely wiped out in 2017? First things first.   You don’t really need to worry about charitable contributions if you don’t itemize your deductions at all.  Today, a single filer has a $6,300 standard deduction and a married couple has $12,600 for a standard deduction. In addition, you get to deduct you, your spouse, and your children as personal exemptions on your tax return.  The suggested policy going forward would be to wipe out the personal exemptions and offer a larger standard deduction of $15,000 for a ...

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Personal Finance 101 – 5 Deductions Taxpayers Overlook

Part of putting together an effective tax management strategy is gaining an understanding of what you can and cannot deduct from your tax return.  Every CPA or accountant seems to have a slightly different slant on the tax code, but here are a few that may be able to help you increase your bottom line. Charitable Mileage – Most taxpayers are very good at keeping receipts of their cash donations that they make to the organizations they donate to during the course of the year.   One of the deductions few taxpayers pay attention to is the charitable mileage deduction.  For 2011, you can deduct .14 cents per mile driven in service of charitable organizations.  Don’t forget fees and tolls as well (www.irs.gov)  Think about the time that you give gratuitously during the course of the year for your religious organizations, charitable causes you support, or possibly coaching a one of your kid’s teams. Non-Cash Charitable Contributions – Most taxpayers literally ...

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