5 Tips for a Better Tax Season

It’s time to get your charitable giving records in order. Apply these simple tips now to save yourself time and hassle as you prepare for tax season.

1.     Know what you can deduct. Deduct cash, property and stock donations made to a charitable organization such as the Orlando Health Foundation, when you itemize your taxes. You cannot deduct the value of any time or services spent on charitable work, but you can deduct mileage and vehicle expenses if used for charitable purposes.

2.     Get proper documentation. For cash contributions of any amount, be sure to get written acknowledgement of your contribution from the charitable organization.

• For noncash contributions, a receipt is required, and if the property is worth $250 or more, additional items are required on the receipt.
• For property valued at more than $5,000, you must have a qualified appraisal.

3.     Keep limitations in mind. Your cash gifts are generally deductible up to 50 percent of your adjusted gross income. Noncash gifts, such as property or stock owned for more than one year, are generally deductible up to 30 percent. You can carry over any remaining deduction for up to five consecutive years.

4.     Transfer records to financial planning software. Enter the information from tax-related transactions electronically to stay organized. Doing so will also help you forecast your tax situation to help you gauge whether to give more at year-end to maximize tax benefits.

5.     Involve the professionals. Your professional tax advisor is the best person for advice on specific tax issues. For questions on tax-wise ways of giving which can also provide support for the Orlando Health Foundation, please contact the Office of Planned Giving at 407.841.5149.

Did you support Orlando Health Foundation with an estate gift last year?

Be sure to contact the Foundation to let us know.

We wish to thank you and ensure that your gift will be used as you intend.

© The Stelter Company | The information in this publication is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results.