Have Tax Questions? Ask a Tax Expert for Answers ASAP
Hello and thank you for using Just AnswerFor most of the charitable deductions you are limited to 50% of your Adjusted Gross Income.
Thank you in advance for clicking ACCEPT
what is "adjusted gross income"? Is this a figure on a typical tax form? I do not prepare my own taxes.
Adjusted Gross Income is your gross income minus adjustments to income. You can see it on your tax return line 37 if you file using the 1040
The line says Adjusted Gross Income though no matter which form you use (1040, 1040A, 1040EZ)
I have alot of donations receipts this year and I am not sure if I should keep some for next years taxes. Is that allowed ?
No, you can count the charitable deductions for the year that you give them. You can carry over your contributions that you are not able to deduct in the current year because they exceed your adjusted-gross-income limits. You can deduct the excess in each of the next 5 years until it is used up, but not beyond that time
But you must list them all in the year you actually make them
Then if you have any to carry forward you have a history to rely on documented with the IRS form the previous filing
So in short list them all now for the year you made them, then if they are more than you are allowed because they are more than 50% of your AGI, you can carry forward to next year and so on for 5 years till used up.
Thanks again and please know that you can always come back even after you click ACCEPT
Did you have another question on this before you accept
Thank you so much .