How to Receive a Tax Deduction for Your Charitable Donations
Many Americans are focused on reducing their tax bill, and you can use charitable donations to nonprofits like World Animal Protection to do so. Read more below.
Tax-deductible donations are contributions of money or goods to a tax-exempt organization such as a charity, like World Animal Protection. Tax-deductible donations may help to reduce your overall taxable income, which could help you offset your overall tax bill.
The advice in this article is meant to serve as a guide for you and may not apply to your financial situation. If you are unsure or unclear about your tax situation, we recommend you discuss your options with a qualified financial expert.
Who is World Animal Protection?
World Animal Protection is the global voice for animal welfare, with more than 70 years’ experience campaigning for a world where animals live free from cruelty and suffering. We have offices in 12 countries and work across 47 countries. We collaborate with local communities, the private sector, civil society, and governments to change animals’ lives for the better.
Our goal is to change the way the world works to end animal cruelty and suffering for both wild and farmed animals.
As a 501(c)3 organization, donations to World Animal Protection are fully tax-deductible under the extent of the law. Learn more about our specific programs of work.
How can a charitable gift qualify for a tax deduction?
A charitable gift will qualify for a tax deduction only if it goes to a tax-exempt organization as defined by section 501(c)(3) of the Internal Revenue Code. Many nonprofit organizations like World Animal Protection are tax-exempt and you can search to see if an organization is via the IRS tool.
How do I claim tax-deductible donations on my tax return?
In order to claim a tax-deductible charitable donation on your tax return, you will need to itemize your deductions at tax time instead of taking the more common standard deduction amount. This means you will need to fill out a Schedule A along with the rest of your tax return.
Most Americans will take the standard deduction instead of itemizing, but every tax situation is different so it’s important to understand what works best for you. A qualified financial advisor can help you determine if itemizing or standard deduction is the best for you. However, if you abandon itemizing, you abandon taking the charitable deduction for what you donated.
There is currently no way to get a deduction for your charitable contributions via the standard deduction option due to the 2017 Tax Cuts and Job Act.
What’s the maximum amount I can claim as a charitable tax deduction on my taxes?
When you donate you can generally deduct up to 60% of your adjusted gross income. The limit applies to all donations you make throughout the year, no matter how many organizations you donate to. Contributions that exceed the limit can often be deducted on your tax returns over the next five years—or until they’re gone—through a process called a carryover.
Any other reminders?
Be sure to keep track of your charitable contributions throughout the year. If you gave monetarily, qualifying documentation could be your bank or credit card statement, and a receipt from the charity. You may need additional documentation for non-cash donations that exceed more than $500. IRS Form 8283 can help you.
We hope the information provided here was helpful, and if you found it to be so, please consider a donation to World Animal Protection’s lifesaving work.