Don’t Forget The Special Income Tax Deductions For 2020

Do you think that there are no holiday gifts when it comes to income taxes?  If you said no, then read on.  I know that I did a similar blog, but this will provide a reminder as we near the end of the year if you haven’t already made donations.

For this year, 2020, there is a new provision that will allow more taxpayers to get the benefit of a charitable deduction.  Even if you don’t itemize deductions.

Due to a special law change made earlier this year, cash donations of up to $300 made before December 31, 2020 will be deductible when individual 2020 returns are filed.  This comes due to COVID-19 and the fact that charities are struggling to help those in need.  This pertains only to donations to a qualified charity. 

The deductions will be “above the line” which means that your adjusted gross income and taxable income will be lowered.  Cash donations – those made by check, credit card, debit card or cash – are allowed. No security donations, household items or other property qualify for this special income tax deduction. 

The key here is that you must have a record of the donation and the donation must be made to a qualifying charity.  Keep your receipt of acknowledgment letter from the charity and retain a cancelled check or a credit card receipt.  If you would like more information on recordkeeping rules, see Publication 526 available on

Feel good and benefit your favorite charity.  They will thank you. 



About the Author

Kay Sowa is a paralegal in the Trusts and Estates Group at Capehart & Scatchard, P.A. She is an IRS Enrolled Agent, an Accredited Estate Planner®, and a Certified Trust and Fiduciary Advisor. She oversees the trust and estate administration practice for the firm. She is an accomplished author and lecturer who has frequently spoken on behalf of a number of organizations including the National Business Institute and the Institute of Paralegal Education.

Post a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.