BELOW SUPERNAV drop zone ⇩

IRS COVID-19 benefit: How to get up to $600 tax deduction

FILE – The exterior of an American Red Cross branch that started to treat COVID-19 patients with plasma donations on May 11, 2020 in Fairfield, New Jersey. (Photo by Eduardo Munoz Alvarez/Getty Images)

MAIN AREA TOP drop zone ⇩

MAIN AREA TOP drop zone ⇩

Mortgage Calculator

This calculator helps you estimate your monthly mortgage payment. It adds up the loan payment (principal + interest), property tax, and insurance. The loan payment is spread out over the years of your loan term.

This is the total amount you're borrowing from the bank.
This is the yearly interest rate on your loan.
This is how long you'll take to repay the loan.
This is the yearly tax you pay on your property.
This is the yearly cost to insure your home.

Monthly Payment Breakdown

Principal and Interest: $

Property Tax: $

Homeowners Insurance: $

Total Estimated Monthly Payment: $

SAN FRANCISCO (KRON) — If you make a cash donation to charity before the end of 2021, you can take advantage of expanded tax benefits approved under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

This includes deductions up to $300 for individuals and $600 for married couples who gave cash donations to qualifying charities during 2021, the IRS said.

Normally, people who elect the standard deduction – 9 in 10 taxpayers, the IRS estimates – aren’t able to claim donations for an additional deduction. But under the CARES Act, contributions to charity through the end of the year will qualify taxpayers for more money back.

The benefit applies only to cash donations made in 2021, and donations made to most charitable organizations qualify, according to the IRS.

Here are some examples of qualifying charitable contributions:

  • Churches, synagogues, temples, mosques and other religious organizations
  • Federal, state and local governments, if your contribution is solely for public purposes (for example, a gift to reduce the public debt or maintain a public park)
  • Nonprofit schools and hospitals
  • The Salvation Army, American Red Cross, CARE, Goodwill Industries, United Way, Boy Scouts of America, Girl Scouts of America, Boys and Girls Clubs of America, etc.
  • War veterans’ groups
  • Expenses paid for a student living with you, sponsored by a qualified organization
  • Out-of-pocket expenses when you serve a qualified organization as a volunteer

The IRS reminds taxpayers to keep good records of your donations if you plan to claim a deduction. “Usually, this includes obtaining an acknowledgment letter from the charity before filing a return and retaining a cancelled check or credit card receipt for contributions of cash,” the IRS says.

There are also changes in 2021 for taxpayers who itemize their deductions and corporations that donate to charity. For more information, check the IRS website.

U.S.

Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed

Site Settings Survey

 

MAIN AREA MIDDLE drop zone ⇩

Trending on NewsNation

MAIN AREA BOTTOM drop zone ⇩

tt

KC Chiefs parade shooting: 1 dead, 21 shot including 9 kids | Morning in America

Witness of Chiefs parade shooting describes suspect | Banfield

Kansas City Chiefs parade shooting: Mom of 2 dead, over 20 shot | Banfield

WWE star Ashley Massaro 'threatened' by board to keep quiet about alleged rape: Friend | Banfield

Friend of WWE star: Ashley Massaro 'spent hours' sobbing after alleged rape | Banfield

Sunny

la

64°F Sunny Feels like 64°
Wind
8 mph SW
Humidity
58%
Sunrise
Sunset

Tonight

Partly cloudy skies. Slight chance of a rain shower. Low 52F. Winds WSW at 5 to 10 mph.
52°F Partly cloudy skies. Slight chance of a rain shower. Low 52F. Winds WSW at 5 to 10 mph.
Wind
9 mph WSW
Precip
15%
Sunset
Moon Phase
Waxing Gibbous