In order to take this above-the-line deduction, enter your donation (s) under Deductions & Credits > Charitable Donations > Donations to Charities in 2020. What if I donated clothes, household stuff - should I still categorize them as MONEY ? Choosing the standard deduction effectively took the charitable deduction off the table. Saving taxes. This means the deduction lowers both adjusted gross income and taxable income translating into tax savings for those making donations to qualifying tax-exempt organizations. I added some additional info to my answer above and edited it for clarity (hopefully). If you itemize your taxes, you should definitely deduct your charitable contributions!. From The new charitable deduction for non-itemizers:An individual eligible to claim the deduction is any individual who does not elect to itemize deductions for 2020 (Sec. 3. QBI. Is that going to get fixed ? This same expansion does not apply to funds given to a donor advised fund or to a IRC Section 509(a)(3) supporting organization. Under this new change, individual taxpayers can claim an "above-the-line" deduction of up to $300 for cash donations made to charity during 2020. Are you using Online TurboTax or desktop software? But now, taxpayers that do not itemize their deductions can claim up to $300 for cash contributions ($600 for married couples filing jointly) they made in 2020 to eligible organizations: Qualifying organizations include those that have charitable, educational, scientific, literary, or religious purposes. Sorry if I've caused any confusion. Subscribe to our mailing list and get interesting stuff and updates to your email inbox. 2020 Update: with the CARES Act legislation providing a number of financial COVID relief measures, there is a relevant 2020 update on this information.There is a new $300 donation deduction provision for those who claim the standard deduction (in addition to those who itemize). Therefore, contributions of noncash property are not allowed as an above-the-line deduction. The bill makes a new deduction available for up to $300 per taxpayer in annual charitable contributions. So you may have gotten additional emails with revised material as I worked on it. That means you can deduct up to $300 in qualifying donations from your taxable income even if you claim the standard deduction. Previously, this number was 60 percent. I am taking standard deduction. CARES Act Expands Tax Deductions for Charitable Giving Which tax break you can take under the economic stimulus bill depends on whether you itemize or claim the standard deduction on your 2020 On Tax Day, Kean Calls for Action on Bill to Create Charitable Deduction Measure Creates Tax Deduction for Contributions to NJ Charities During COVID-19 Pandemic With tax filings for 2020 due today, Senate Republican Leader Tom Kean said many New Jersey taxpayers will once again notice an important tax deduction for charitable giving is offered on federal but not state returns. 401(k) vs. Roth IRA Whats the Deference Both? Charitable cash donations of up to $300 made to qualifying organizations before December 31, 2020, are now deductible for individuals who choose to use the standard deduction rather than itemizing their deductions. Unemployment taxes. Form 1040 taxes. We can tell you how to look. 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