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.
- 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.
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.
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.
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.
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.
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.