Article

Charitable Contribution Deduction

August 22, 2026 · Aditya Gupta

Tax

Charitable contribution deductions allow taxpayers who itemize to deduct cash donations to qualified 501(c)(3) charities up to 60% of AGI, plus appreciated property donations up to 30% of AGI. Donating appreciated securities held over a year is doubly powerful — you skip capital gains tax AND get the full fair market value deduction. Donor-Advised Funds (DAFs) let you bunch multiple years of giving into one year (to itemize) while distributing to charities over time. Qualified Charitable Distributions from IRAs (age 70½+) exclude up to $108,000 from income — beneficial even for non-itemizers. Always get written acknowledgment for contributions over $250.

Tax

Related terms

Back to the finance glossary