Based on pending tax reform this may be the last chance for some of you to itemize your deductions…maybe ever! The time for tax-effective charitable giving is now. Consult your GBE advisor for more details.
Donation Facts
- If you donate using credit card in December, but payoff the statement in January, you still receive the deduction for December
- If you mail a donation in December, but the check isn’t received until January, you still receive the deduction for December
- You may not deduct hours of labor
- Example: Mowing for 10 hours at the local church is certainly a worthy deed, but is not tax deductible
- You may not deduct if a benefit was received
- Example: You bought a $100 gift basket at a school charity auction. If the goods inside the basket are valued at $80 then a $20 deduction is allowed. You may only deduct to the extent the amount exceeds the value received.
Documentation for Monetary Donations
For donations under $250 you must have a copy of the cancelled check or a receipt from the charity. For donations of $250 or more you must receive a written receipt from the charity, with name, date, amount, and a statement that no goods or services were provided by the charity in return for the donation.
Donation Ideas
We appreciate and support many non-profit entities. Some of our favorites include:
Concordia University, Nebraska brings a Christ-centered learning environment to higher education.
https://www.cune.edu/giving/
Mental Health Association of Nebraska is a completely peer operated, participant driven organization that provides a variety of different programs available to individuals with mental health and/or substance use issues.
https://mha-ne.org
The Seward Library Foundation is dedicated to enhancing the facilities, services and programs of the Seward Memorial Library beyond what is currently provided by City tax dollars.
https://www.sewardlibraryfoundation.org/donate/
Non-Cash
Located at 504 Seward St in Seward, Nebraska, the Et Cetera Thrift Shop provides a local option for your non-cash and goodwill donation items.
Remember
The last month of the year is often a good time to plan final charitable contributions. The timing is helpful because you’re able to have a better estimate of income for the year compared to your donations/goals. It’s also helpful because the deduction, should you itemize, will be realized on your tax return just a few months from now.
Thanks for your time and have a great holiday season. We’ll see you soon.