Charitable Contributions
The CARES Act allows an above-the-line deduction of up to $300 for charitable contributions made by individuals. This means an individual can claim a deduction for a charitable contribution, even if the individual does not itemize deductions.
For the 2020 tax year, individuals can claim an unlimited itemized deduction for a charitable contribution, which is normally limited to 50% of AGI. In the case of corporations, the usually 10% of AGI limitation is increased to 25% for the 2020 tax year.
Updates and C&A Postings: