IRS Rules and Guidelines for
donations
Rules for Clothing and Household Items
To be deductible, clothing and household items donated to
charity generally must be in good used condition or better. A clothing or
household item for which a taxpayer claims a deduction of over $500 does not
have to meet this standard if the taxpayer includes a qualified appraisal of
the item with the return. Household items include furniture, furnishings,
electronics, appliances and linens.
Guidelines for Monetary Donations
To deduct any charitable donation of money, regardless of
amount, a taxpayer must have a bank record or a written communication from the
charity showing the name of the charity and the date and amount of the
contribution. Bank records include canceled checks, bank or credit union
statements, and credit card statements. Bank or credit union statements should
show the name of the charity, the date, and the amount paid. Credit card
statements should show the name of the charity, the date, and the transaction posting
date.
Donations of money include those made in cash or by check,
electronic funds transfer, credit card and payroll deduction. For payroll
deductions, the taxpayer should retain a pay stub, a Form W-2 wage statement or
other document furnished by the employer showing the total amount withheld for
charity, along with the pledge card showing the name of the charity.
These requirements for the deduction of monetary donations
do not change the long-standing requirement that a taxpayer obtain an
acknowledgment from a charity for each deductible donation (either money or
property) of $250 or more. However, one statement containing all of the
required information may meet both requirements.
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