New Tax Benefits for Charitable Donations

New Tax Benefits for Charitable Donations

The CARES Act provides big new tax benefits for people and corporations giving to charity

By Erin Saylor, Staff Attorney

With the world turned upside down, it is easy for issues that were so important just a few weeks ago to be pushed to the back of our minds. But the fight for clean water continues. Despite the global pandemic, federal and state governments are continuing to pass environmental regulations, fossil fuel corporations are trying to build new polluting facilities, and salmon are continuing to struggle up hot, damn choked rivers. Through it all, Columbia Riverkeeper is persevering to ensure that our members’ voices are heard. 

Now, more than ever, we need your support. If you are in a position to donate, we want to let you know about a few tax deduction changes Congress recently made through the CARES Act for charitable donations: 

1. In 2020, taxpayers who typically take the standard deduction on their tax returns can claim a brand new “above-the-line” deduction of up to $300 for cash donations to an eligible charity, including Columbia Riverkeeper. Normally, you have to itemize your taxes to get a tax break for charitable donations, this is the opposite. This deduction is not available to individuals who itemize. 
2. For those who itemize their taxes, you can now deduct up to 100% of your adjusted gross income (AGI) for charitable donations made in 2020. Generally, deductions for charitable donations are limited to 60% of your AGI. 
3. If you donate through your business, your corporation can deduct up to 25% of its taxable income for charitable donations made during 2020. This is an increase from the usual corporate donation limit of 10% of taxable income for the year. 

For more information, please contact your tax professional. For information on giving to Columbia Riverkeeper, please contact Emily Kao at emily@columbiariverkeeper.org or 541.399.5591. 

Columbia Riverkeeper’s EIN number is 91-1583492.