Step by Step process of donating to goodwill or similar charity?

Question

Can someone tell me the step by step process of donating clothing to goodwill store or similar style places and bing able to get the tax deduction. I have to use the long form for tazes anyway so might as well get the deduction if I can. Oh, This is mainly for used clothing and household goods. Good clean stuff thats left over from multi family house cleaning and yardsale.
Thanks!
I've never donated anything to get the deduction before, my prvious deductions have been drop offs. So I dont know what to expect.Also, Does it matter for taxes when the donation takes place? Such as there is a goodwill store close by in the next state.
Thanks again for any helpful answers!

Answer 1

1. Each time you donate, make sure to obtain a receipt
2. Keep a record along with your receipt with a list of items donated
3. At the end of the year, make an estimate of the total value you are trying to claim. IRS allow Fair Market Value. Use this sheet as a guideline.
http://www.cincinnatigoodwill.org/donating/FMV2005.pdf
4. If the total is less than $500, then deduct the value in Schedule A Line 16
5. If the total value is greater than $500, you have to use Form 8283

Best wishes.

Answer 2

When they are large non-profits such as Goodwill, it's simply a matter of bringing your items there and receiving a receipt or letter giving their non-profit number. You are responsible for valuating the items, the charity cannot. Usually the charity will also expect you to list the items you donated. I work for Love INC in Oregon. They are in many states and also often receive items to give to people in need. Their website is www.loveinc.org and you can check to see if there is an affiliate near you. Some non-profits will even pick the items up (often the Salvation Army will - Goodwill might). You can only deduct the fair market value of the property. If it's clothing or household goods they must be in good condition or better. You should claim as the value what people would pay for the item in a thrift store (a LOT less than you paid).

I believe you have to claim the deduction within three years of the donation (I'm not sure of this part - I've always deducted it the year we gave it), however it must be before December 31 of the year you give it to claim it for that year. That is, if you want to claim it on your 2006 taxes, you must give it before December 31 of 2006.

Hope this helps.

Answer 3

The IRS has now made it tough to get that deduction, one now has to donate items in Excellent condition, which may be open to intrepretation. However, either take pictures of the items, or have "Goodwill" state the condition on the reciept. When I've donated items they just gave me a blank receipt for me to fill out, and I may have been able to list anything under the sun on there with no one the wiser. Other than that, the amount one can deduct is a little more complicated, one can only deduct basically what the charity could resell it for, so you may have to do some investigating there on prices.

Answer 4

Go to the Goodwill in your city. Put everthing in a bag or box and take it to the Goodwill inyour city. They will do the rest.

Look in the Yellow Pages or call directory assistance for the Goodwill closest to where you live.

The Salvation Army will also take donations.

Answer 5

I advise you to go to the nearest thrift store and ask about the tax deduction questions.

Later on, just bring a bag of your unneeded stuff and they shall lead the way!