As the season of charitable giving kicks off, it’s a good time to plan how to minimize your 2017 tax bill while exercising your generosity.
This year, with tax legislation in Congress moving closer to possible passage, some experts are advising doing a few things differently when it comes to charitable donations. In short, it might be worthwhile to boost your giving.
“We’re advising clients to make as many charitable contributions as they can afford,” said Kim Garcia, a principal with Diversified Trust in Greensboro, North Carolina.
Although the tax break for charitable contributions is one of the few deductions retained under both the Senate and House tax bills, other changes would likely reduce its usefulness. Because the standard deduction would be doubled and most other deductions would disappear under proposed reforms, fewer taxpayers would itemize — which is the only way to take advantage of the deduction for charitable contributions.