Charles Trautman, EA · Since 1969
Receipts, rules and the smartest ways to give.
Starting in 2026, nearly everyone can deduct something for charitable gifts, including people who take the standard deduction. But the deduction is only as good as your paperwork, and the IRS is strict about receipts. Here’s how giving works on your federal return, and the ways to give that save the most.
For 2025 and 2026 returns. For the Colorado side, including the $300,000 addback, see charitable giving over $300,000 in Colorado.
| 2025 | 2026 and later | |
|---|---|---|
| Standard deduction | No deduction for gifts | Up to $1,000 of cash gifts, $2,000 joint, on top of the standard deduction |
| Itemize | All qualifying gifts, within the income limits | Gifts above 0.5% of your AGI; the first 0.5% is lost |
| Itemize, in the 37% bracket | Worth 37 cents per dollar | Worth at most 35 cents per dollar |
Cash only (checks, cards and bank transfers count), to a regular public charity or church. Gifts to donor-advised funds and private foundations don’t qualify, and neither do donated goods.
Cash gifts to public charities are deductible up to 60% of AGI, and gifts of appreciated stock or property up to 30%. Anything over the limit carries forward for five years.
With AGI of $150,000, the first $750 you give in 2026 buys no itemized deduction. Disallowed amounts can carry forward in some cases. (See What’s new for 2026.)
No paperwork, no deduction. The IRS and the Tax Court disallow gifts every year that people really made, simply because the records weren’t right.
A bank record (canceled check, bank or card statement) or a written receipt from the charity showing its name, the date and the amount. Cash in the collection plate with no record isn’t deductible.
A written acknowledgment from the charity is required, and a canceled check isn’t enough. It must show the amount and say whether you received anything in return, and if so, its value. You need it in hand by the time you file. Churches usually send a year-end statement; keep it.
For a $200 gala ticket that includes a $70 dinner, the deduction is $130. Charities must tell you the value when you pay more than $75 and receive something. Raffle tickets aren’t deductible at all.
A pay stub or W-2 showing the amount, plus a pledge card from the charity. Each paycheck deduction counts as a separate gift for the $250 rule.
Goods, stock and vehicles can only be deducted by people who itemize. The rules get stricter as the value rises.
| Value | What you need |
|---|---|
| Any amount | A receipt with the charity’s name, date and description of the items. Clothing and household items must be in good used condition or better. |
| Over $500 total for the year | Form 8283, Section A, with how and when you got the items and what you paid. |
| Over $5,000 for one item or group of similar items | A qualified appraisal, and Section B of Form 8283 signed by the appraiser and the charity. Publicly traded stock doesn’t need an appraisal. |
| A car, boat or plane over $500 | Form 1098-C from the charity. If the charity sells it, your deduction is usually limited to the sale price, not the book value. |
Stock you’ve held more than a year that has gone up in value can be given directly to a charity or donor-advised fund. You deduct the full market value and never pay capital gains tax on the growth. Giving $10,000 of stock you bought for $3,000 is better than selling it and giving the cash, which costs you tax on the $7,000 gain. Don’t give stock that has lost value: sell it, take the loss, and give the cash.
Your time isn’t deductible, however valuable. Your out-of-pocket costs are, if you itemize.
14 cents a mile driving for a charity, set by law and unchanged since 1998, or your actual gas and oil. Parking and tolls are added on top. Keep a log of dates, miles and purpose.
Supplies you buy for the charity’s work, and uniforms you must wear that aren’t suitable for everyday use.
Travel away from home for a charity, including a mission trip, if there’s no significant element of personal pleasure or vacation. Expenses over $250 need an acknowledgment from the charity.
With the new floor and the larger standard deduction, how and when you give matters more than it used to.
A qualified charitable distribution goes straight from your IRA to the charity: up to $108,000 for 2025 and $111,000 for 2026. It never shows up in your income, counts toward your required minimum distribution, avoids the 0.5% floor, and works whether or not you itemize. For most retirees who give, it’s the best tool there is.
Give two or three years’ worth in one year and itemize, then take the standard deduction in the off years. You pay the 0.5% floor once instead of every year.
A donor-advised fund lets you bunch the deduction into one year and hand out the money to charities over time. Appreciated stock works especially well.
If you take the standard deduction, make your gifts in cash or by check directly to the charity, not through a donor-advised fund, so they count toward the $1,000 / $2,000 deduction from 2026.
Help for a family in need, or a crowdfunding campaign for a person’s medical bills, isn’t deductible, however worthy.
Campaigns, parties, PACs and most advocacy groups organized under 501(c)(4).
Raffle tickets, the value of what you buy at a charity auction, and private school tuition.
Make sure the organization is a qualified charity using the IRS Tax Exempt Organization Search. Churches qualify automatically. Watch for fake charities after disasters. (See the Dirty Dozen.)
Starting with 2026, yes: up to $1,000 of cash gifts, or $2,000 on a joint return. For 2025 and earlier, only people who itemize could deduct gifts. Colorado also has its own subtraction for non-itemizers’ gifts above $500.
Yes, if it lists your gifts, the amounts, and says you received no goods or services in return. That statement covers the $250 rule for each gift on it.
At fair market value, what the items would sell for in a thrift store, not what you paid. Keep a list of the items with photos for anything valuable. Over $500 for the year needs Form 8283.
For most people 70½ or older, yes. It keeps the money out of your income entirely, which can also lower the taxable part of your Social Security and your Medicare premiums, and it works without itemizing.
No. You can deduct out-of-pocket costs like mileage at 14 cents a mile, supplies and required uniforms, if you itemize.
Talk to us before December 31. Whether to give cash, stock or IRA money, and which year to give it in, can change the tax savings considerably. Taxes can be tough, but the Tax Shop has your back.