I donated a few thousand dollars to charity this year. Some cash, some household items. How does that work for claiming it on my taxes? Will I get that money back? Or does it come off of what I earned for the year, therefore I just get taxed less?
2007-01-06 11:19:45 · 3 answers · asked by ? 6 in Business & Finance ➔ Taxes ➔ United States
Charitable contribution is documented on Schedule A as part of itemizing your deductions. If you take the standard deduction, you wouldn't benefit from the charitable contribution.
The deduction wouldn't reduce your tax dollar for dollar. If you are in the 15% tax bracket and itemize your deduction, your tax will be reduced by $150.
The tax law has changed for next year. Make sure you get receipts if you want to claim deductions for charitable contributions next year.
Best wishes.
2007-01-06 13:28:43 · answer #1 · answered by JQT 6 · 0⤊ 0⤋
not in undemanding terms is it unlawful...it may get the accountant a hefty great and probable barred from commercially submitting taxes interior the destiny. to boot, the belief does not make any experience. A deduction is only pennies on a greenback. It does not make experience to spend a greenback to save on the main 40 8 cents. Now in case you like a criminal advice. Take that $500 and purchase some kit which will make you extra helpful at your occupation. you have the potential to offset that against the gross income to have a smaller internet income. this additionally will cut back the quantity of self employment tax which you will possibly desire to pay. even if, this in undemanding terms works in case you like the kit...it continues to be pennies on the greenback. a extra helpful theory is positioned it right into a retirement fund. Now what style of fund is a very diverse question. It relies upon on your undertaking. desire this helps.
2016-12-16 03:44:07 · answer #2 · answered by ? 3 · 0⤊ 0⤋
it comes off of what you earned for the year.
2007-01-06 11:22:56 · answer #3 · answered by george 2 6 · 0⤊ 0⤋