How Donating to Charity Can Save You Big Bucks in Taxes

For those who do not enjoy the thought giving their hard earned money to uncle Sam, being charitable is one major way of ensuring that what gets taken from you is quite little. And the best part about this is that you will also be doing something that fills your heart with satisfaction rather than make you clench your fist like the IRS does.

According to the IRS Exempt Organizations Select Check, making charitable donations of money and goods to certified organizations is one way of lowering the amount of money that you get taxed. The rule guarantees that, non-monetary donations attract a 30% deduction of your tax, while monetary donations bring you a 50% deduction.

What to do

Plan Your Giving

There are plenty of donations that you can use as a means to cut on your taxes. The following is a list of some of the organizations that you can make donations to

1. Tax exempt education centers
2. Hospitals and research organizations
3. Religious organizations
4. Public organizations
5. Government unit
6. Private charity organizations

Once you know where you make your donations, it will also be important to have a record of the following in order to make a claim of charitable contributions and be exempted from taxes

1. Date of the donation
2. The receipt
3. Market value of the donated item
4. Name and address of the organization you made your donation to

Keep a Receipt of your Donations

The IRS requires that you keep a receipt of any donation that you make which is above $250. Keeping these receipts will be important when the IRS comes to conducts its audits.

Donate Household Goods

If you do not have extra money to donate, you can still be creative by donating the house hold items that you are no longer in need of. These goods will however be priced at their value during the time of donation and will only attract a 30% discount on your taxes.

Donate to the Yad Ezra V'Shulamit Organization

Charities like Yad Ezra are examples of those organizations that have been certified by the IRS and are therefore tax exempted. You can make your donations to them through the following means:

1.Cheque

Canadian: Please make checks out to Canada Charity Partners 5785 Smart Ave. Cote St Luc, Quebec H4W 2M8 with attached note designating it for Yad Ezra V’Shulamit.

USA: 3470 Wilshire Blvd., Suite 1020, Los Angeles, CA 90010.

Israel: PO Box 5885, Jerusalem, Israel 91050.

2. Money Transfer

Israel: IBAN: IL50-0204-1700-0000-0456-568 (account no.)

UK: Barclays Bank, Account name: British Friends of Yad Ezra Veshulamit, Sort code: 20-29-37, Account #: 13614409

3. Online

UK & Canada tax deductible

Worldwide: yadezra.net

Bottom Line

Whether you get a 50% or 30% discount on your taxes, the most important win that one always gets here is the feeling of satisfaction from helping someone who is in need somewhere. So, be the one to make a change today by sending your donations to the Yad Ezra V'Shulamit organization.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes.