Thursday, August 18News That Matters
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Tag: donating

Federal tax breaks for donating to these state-run funds are on shaky ground

Federal tax breaks for donating to these state-run funds are on shaky ground

Finance
Things are looking uncertain for filers hoping to get a break on their 2018 federal taxes by contributing to state-run charitable funds. The Tax Cuts and Jobs Act, which went into effect last year, limited to $ 10,000 the state and local tax (SALT) deduction filers can claim on their federal returns. And only taxpayers who itemize deductions would be eligible to claim this break. The new tax law increased the standard deduction to $ 12,000 for singles and $ 24,000 for married-filing-jointly in 2018. High-tax states, including New York, New Jersey and ...
If you are donating a car to charity, pump the brakes and be sure to take these 8 steps

If you are donating a car to charity, pump the brakes and be sure to take these 8 steps

Finance
Thinking of donating your clunker to charity for a nice tax deduction? Proceed with caution.The gifting of used cars to "charities" has become a favorite way for Americans to dispose of unwanted vehicles. And why not? You can avoid the headache of selling or junking the car, help a charitable cause and lower your tax burden all at the same time.Unfortunately, the experience is rarely, in reality, such a win-win situation. Not only do charities typically see little of the proceeds from a used car sale, but donors can run afoul of the taxman if they're not careful."At the end of the day, donating a used car could be the least cost-effective way to give to a charity," said Stephanie Kalivas, an analyst with CharityWatch, an organization that monitors the charitable giving industry.The problem...