Out-of-Pocket Charitable Deductions
By now we think that everyone should be aware of big charitable gifts, and people normally make the effort to include them.
But it’s very likely to forget about all the little things that, whether you know it or not, can add up. Yes, you can absolutely write off any out-of-pocket costs incurred while doing charity work. Did you buy stamps for a school’s fund-raising? Did you purchase ingredients and then prepared food for an organization’s soup kitchen? Yep, these count as charitable contributions even if you didn’t hand out hundreds of dollars.
Keeping those receipts is crucial! For contributions that went over $250, you’ll also need an acknowledgment from the charity that documents the support you provided. If you used your car in order to help a charity, you can even deduct 14 cents per mile, not to mention tolls and parking!
