Nothing is more rewarding than making a donation to a worthy cause — except, perhaps, donating to a worthy cause and getting a tax deduction for it.
While most donations stem from a desire to make a positive impact, there’s no denying that tax deductions are a big incentive.
Americans gave $316.23 billion to charity in 2012, equivalent to 2% of the U.S. gross domestic product (GDP). The majority of that giving, $223 billion, came from individuals – not surprising since 88% of households give to charity.
Making a charitable donation is not only a chance to make a difference: it’s also an excellent way to reduce your tax burden for the year. The tax benefit is considered a compelling reason for making charitable deductions: more than two-thirds of high-net-worth donors said they would decrease their giving if they did not receive a corresponding tax deduction.
However, because there are so many rules and requirements surrounding charitable giving, donors often miss out on the tax benefits they deserve. A tax deduction for charitable giving isn’t guaranteed just because you’re feeling generous. As with everything in tax law, it’s important to follow the rules. And as always consult your adviser, CPA or tax accountant.
South Florida Donation Center makes easy to give to a worthy cause. We service and pick-up furniture, clothes and all sorts of re-saleable items within the Miami-Dade, Broward and Palm Beach counties representing JEWISH NON-PROFIT AGENCIES to raise funds.