A unique opportunity through the CARES Act
We are pleased to inform you of a law that could help you, and potentially Habitat Omaha. You have likely heard of the CARES Act that was introduced to help Americans navigate the pandemic. Did you know the CARES Act offers some tax relief for donors?
The CARES (Coronavirus Aid, Relief and Economic Security) Act provides incentives for individual and corporate donors.
- Individual Contributor, Non-Itemized Deductions
A deduction up to $300 in charitable contributions from your adjusted gross income (AGI) is permissible for those who take the standard deduction. (e.g. in 2020 if you donate at least $300, your deductions = the standard deduction + $300) NOTE: Gifts of appreciated securities do not qualify.
- Individual Contributor, Itemized Deductions
A deduction up to 100% of your adjusted gross income (AGI) in charitable contributions is permissible for donations made in cash to a qualified charitable organization such as Habitat Omaha. This is an increase from the general limit on deductions to no more than 60% of the AGI.
- Retirement Plan Distributor
All required minimum distributions (RMDs) from retirement accounts are suspended for 2020. Donors who are 70 ½ years or older are permitted to contribute up to $100,000 directly to a qualified charitable organization without paying tax on the distribution.
- Business/Corporate Contributor
A deduction up to 25% of your taxable income in charitable contributions is permissible for donations made in cash to a qualified charitable organization. This is an increase from the general limit on deductions to no more than 10% of the taxable income.
Please consider making a gift today. Your partnership will support families and bring people together to build homes and strengthen communities. At the same time, you can take advantage of the unique tax opportunities provided through the CARES Act.
If you have any questions, please reach out to Brian Osborne, Development Officer at bosborne@habitatomaha.org.
