As the final quarter of the year approaches, older taxpayers need to keep a careful eye on their required minimum distributions (RMDs) for the year. These taxpayers face a stiff penalty if they don't withdraw enough from their retirement accounts. This blog explains the rules that apply and offers a strategy for those older taxpayers who would be interested in using the qualified charitable contribution deduction this year, should it be retroactively reinstated by Congress. T
April 15 has passed, but it’s never too early to start preparing for next year – especially with spring cleaning going on. Many people will be cleaning out their closets and donating non-cash charitable contributions of household items and clothing. Be sure to maintain the proper documentation so you can claim a charitable contribution. When you make the donation, the charity should give you a receipt with their name and the date of the donation along with a general descrip
Since it is the time of year when people tend to make extra charitable contributions, we want to remind you of several important tax law provisions and general substantiation requirements that you should keep in mind. Rules for clothing and household items: To be deductible, clothing and household items must be in good condition or better. If you want to deduct over $500 of clothing or household items (e.g., furniture, furnishings, electronics, appliances, and linens) this do
As the final quarter of the year approaches, older taxpayers need to keep a careful eye on their required minimum distributions (RMDs) for the year. There’s a stiff penalty for not withdrawing enough from a retirement account. This edition of Tax Tip Tuesday explains the rules that apply and offers a strategy for those older taxpayers who would be interested in using the qualified charitable contribution deduction this year, should it be retroactively reinstated by Congress.
By Linda Fatland — Ryun, Givens & Company Tax Supervisor Along with spring comes spring cleaning, which frequently means donating clothing and household goods to Goodwill or a similar charity. When you make the donations, the charity should give you a receipt with their name and the date of the donation along with a general description of what was donated. You should keep this receipt for your files. Also, keep a list of the donated items and their fair market (or thrift shop
Today we will talk about a couple of tips to help plan for next year’s tax return. The first idea is to organize your records. Keep a current summary of all deductible expenses and contributions throughout the year. Recording an expense as it happens will help you remember all the expenses or contributions you have incurred. Another important step to take is related to non cash contributions of clothing and household items to Goodwill, DAV or other similar charities that ac
If you are planning to make a relatively substantial contribution to a charity, you should consider donating appreciated stock from your investment portfolio instead of cash. Your tax benefits from the donation can be increased and the organization will be just as happy to receive the stock. This tax planning tool comes from the general rule that the deduction for a donation of property to a charity is equal to the fair market value of the donated property. Where the donated
If you donate cash, checks, or other monetary gifts, regardless of the amount, you must have a bank record or written communication from the organization you donate to. This needs to show its name and the date and amount of donation. If a contribution is worth $250 or more, stricter substantiation requirements apply. For these, you must have a written receipt from the charity that shows the amount of cash contributed. It must also state whether the charity provided any goods