501(c)(3) Donation Benefits
Organizations described in section 501(c)(3) are commonly referred to as charitable organizations. Organizations described in section 501(c)(3), other than testing for public safety organizations, are eligible to receive tax-deductible contributions in accordance with Code section 170.
You may be able to claim a deduction on your federal taxes if you donated to a 501(c)3 organization. To deduct donations, you must file a Schedule A with your tax form. With proper documentation, you can claim vehicle or cash donations. Or, if you want to deduct a non-cash donation, you’ll also have to fill out a Form 8283.
How Much Can You Deduct?
The amount of money that you can deduct on your taxes may not be equal to the total amount of your donations.
- If you donate non-cash items, you can claim the fair market value of the items on your taxes.
- If you donated a vehicle, the amount of your deduction depends on if the organization uses the car or sells it at an auction. “A Donor’s Guide to Vehicle Donation (PDF, Download Adobe Reader)” explains how your deduction is determined.
- If you received a gift or ticket to an event, you can only deduct the amount that exceeds the value of the gift or ticket.
For more information please visit: https://www.usa.gov/donate-to-charity