Publication 526 - Introductory Material
This is archived information that pertains only to the 2006 Tax Year. If you
are looking for information for the current tax year, go to the Tax Prep Help Area.
Clothing and household items. You cannot take a deduction for clothing or household items you donate after August 17, 2006, unless the clothing or household
items are in good
used condition or better. See Clothing and Household Items under Contributions of Property.
Qualified charitable distributions from IRAs. If you were at least age 70½ when you had a qualified charitable distribution (QCD) from your IRA made directly by the trustee
to a
charitable organization, the QCD may be nontaxable. However, you cannot take a charitable contribution deduction for the QCD
on your Schedule A (Form
1040). See Qualified Charitable Distributions under Contributions You Cannot Deduct.
Food inventory. The special rules that apply to contributions of food inventory were due to expire at the end of 2005 but have been extended
to contributions made
in 2006 and 2007. See Food Inventory under Contributions of Property.
Limit on qualified conservation contributions increased. The limit on the deduction for certain contributions of capital gain property has been increased from 30% of adjusted gross
income (AGI) to 50% of
AGI in the case of qualified conservation contributions. The limit is 100% of AGI for certain farmers and ranchers. See Limits on
Deductions.
Easements on buildings in historic districts. New requirements apply to contributions after July 25, 2006, of certain easements on buildings in registered historic districts.
See Qualified
Conservation Contribution under Contributions of Property.
Taxidermy property. New rules limit deductions for contributions of taxidermy property after July 25, 2006. See Taxidermy Property under Contributions
of Property.
Recapture of deductions for contributions of property. Part of the deduction for certain contributions of tangible personal property after September 1, 2006, will be recaptured,
or the amount of the
deduction limited, if the recipient organization sells the property within 3 years and does not certify its exempt use. See
Tangible personal
property put to unrelated use under Giving Property That Has Increased in Value.
Fractional interests in property. New rules apply to donations after August 17, 2006, of a fractional interest in tangible personal property. See Fractional Interest in
Tangible Personal Property.
Standard mileage rate for Hurricane Katrina. The standard mileage rate for 2006 if you used your car in giving services to a charitable organization to provide relief
related to Hurricane
Katrina is 32 cents a mile. See Car expenses related to Hurricane Katrina under Out-of-Pocket Expenses in Giving Services.
Limit on itemized deductions. For 2006, if your adjusted gross income is more than $150,500 ($75,250 if you are married filing separately), you may have
to reduce the amount of
certain itemized deductions, including charitable contributions. For more information and a worksheet, see the instructions
for Schedule A (Form
1040).
Temporary suspension of 50% limit expired. The temporary suspension of the 50% of adjusted gross income limit expired at the end of 2005. This means you can no longer
elect to treat
contributions by cash or check as “qualified contributions.” Qualified contributions for which you made this election in 2005 were not subject to
the 50% limit or the overall limit on itemized deductions.
New recordkeeping requirements for cash contributions. You cannot deduct a cash contribution, regardless of the amount, unless you keep as a record of the contribution a bank record
(such as a canceled
check, a bank copy of a canceled check, or a bank statement containing the name of the charity, the date, and the amount)
or a written communication
from the charity. The written communication must include the name of the charity, date of the contribution, and amount of
the contribution.
Filing fee for easements on buildings in historic districts. A new $500 filing fee must be paid for each qualified conservation contribution after February 12, 2007, that is an easement
on a building in a
registered historic district, if the claimed deduction is more than $10,000. See Building in registered historic district under
Qualified Conservation Contribution.
Donor advised funds. Contributions to a donor advised fund after February 13, 2007, are not deductible in certain cases. To deduct these contributions,
you must have an
acknowledgment from the donee that the donee has exclusive legal control over the assets contributed.
Disaster relief. You can deduct contributions for flood relief, hurricane relief, or other disaster relief to a qualified organization (defined
under
Organizations That Qualify To Receive Deductible Contributions). However, you cannot deduct contributions earmarked for relief of a
particular individual or family.
This publication explains how to claim a deduction for your charitable contributions. It discusses organizations that are
qualified to receive
deductible charitable contributions, the types of contributions you can deduct, how much you can deduct, what records to keep,
and how to report
charitable contributions.
A charitable contribution is a donation or gift to, or for the use of, a qualified organization.
It is voluntary and is made without getting, or expecting to get, anything of equal value.
Qualified organizations.
Qualified organizations include nonprofit groups that are religious, charitable, educational, scientific, or literary
in purpose, or that work to
prevent cruelty to children or animals. You will find descriptions of these organizations under
Organizations That Qualify To Receive Deductible
Contributions.
Form 1040 required.
To deduct a charitable contribution, you must file Form 1040 and itemize deductions on Schedule A. The amount of your
deduction may be limited if
certain rules and limits explained in this publication apply to you.
Comments and suggestions.
We welcome your comments about this publication and your suggestions for future editions.
You can write to us at the following address:
Internal Revenue Service
Individual Forms and Publications Branch
SE:W:CAR:MP:T:I
1111 Constitution Ave. NW, IR-6406
Washington, DC 20224
We respond to many letters by telephone. Therefore, it would be helpful if you would include your daytime phone number,
including the area code, in
your correspondence.
You can email us at
*[email protected]. (The asterisk must be included in the
address.) Please put “
Publications Comment” on the subject line. Although we cannot respond individually to each email, we do appreciate your
feedback and will consider your comments as we revise our tax products.
Ordering forms and publications.
Visit
www.irs.gov/formspubs to download forms and publications, call 1-800-829-3676, or write to the address below and receive a response
within 10 business days after your request is received.
National Distribution Center
P.O. Box 8903
Bloomington, IL 61702-8903
Tax questions.
If you have a tax question, visit
www.irs.gov or call 1-800-829-1040. We cannot answer tax questions sent to
either of the above addresses.
Useful Items - You may want to see:
See How To Get Tax Help near the end of this publication for information about getting these publications and forms.
Table 1. Examples of Charitable Contributions—A Quick Check
Use the following lists for a quick check of contributions you can or cannot deduct. See the rest of this publication for
more information
and additional rules and limits that may apply.
Deductible As
Charitable Contributions |
Not Deductible As
Charitable Contributions |
|
Money or property you give to:
|
Money or property you give to:
|
-
Churches, synagogues, temples,
mosques, and other religious
organizations
-
Federal, state, and local
governments, if your contribution is
solely for public purposes (for
example, a gift to reduce the public
debt)
-
Nonprofit schools and hospitals
-
Public parks and recreation facilities
-
Salvation Army, Red Cross, CARE,
Goodwill Industries, United Way, Boy
Scouts, Girl Scouts, Boys and Girls
Clubs of America, etc.
-
War veterans' groups
-
Charitable organizations listed in Publication 78
Expenses paid for a student living with you,
sponsored by a qualified organization
Out-of-pocket expenses when you serve a
qualified organization as a volunteer
|
-
Civic leagues, social and sports
clubs, labor unions, and chambers of
commerce
-
Foreign organizations (except certain
Canadian, Israeli, and Mexican
charities)
-
Groups that are run for personal
profit
-
Groups whose purpose is to lobby for
law changes
-
Homeowners' associations
-
Individuals
-
Political groups or candidates for
public office
|
Cost of raffle, bingo, or lottery tickets
Dues, fees, or bills paid to country clubs,
lodges, fraternal orders, or similar groups
Tuition
Value of your time or services
Value of blood given to a blood bank
|
