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How to Help
about taxes
Taxpayers who itemize are permitted to deduct gifts to qualified charitable institutions
of up to 50 percent of their adjusted gross income each year for gifts of cash, and up
to 30 percent for gifts of appreciated property. Pursuant to Title 26 U.S.C. Section 170(c)(1),
gifts to the Armed Forces Veterans Homes Foundation qualify as such deductions. If a gift
plan would result in a gift of more than this amount in a given year, the excess can be
deducted over an additional five-year period.
Under federal income tax law and some state laws, property that has increased in value
and has been held for more than 12 months may be deductible at full market value, rather
than at the original market cost. The result is an avoidance of capital gains tax, which
provides donors an option to give a larger gift than otherwise might be possible.
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