Enhanced Charitable Giving Incentives
Temporary Universal Charitable Deduction
For the year 2020, taxpayers who do not itemize their deductions can take a one-time deduction of up to $300 for cash gifts made to charitable organizations. The provision is intended only for the year 2020; however, the bill does not include an end date so could conceivably extend beyond this calendar year.
No Limit on Deductions for Cash Gifts
A provision also suspends the 60 percent adjusted gross income limitation for individuals’ charitable contributions for the year 2020. In a typical year, individuals can only take a charitable deduction of up to 60 percent of their adjusted gross income, no matter how much they give. For 2020, there is no limit, making cash contributions fully deductible.