Caring for Generations
 
 
 
 
 

The CARES Act

On March 27, the President signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act to help combat the far-reaching impacts of COVID-19. The CARES Act provides significant and unique tax benefits for charitable giving in 2020.

New Charitable Deduction for Non-Itemizers - $300

To encourage continued annual support from gifts of any size, the CARES Act allows non-itemizers to reduce their taxable income by up to $300 for cash donations to public charities made in 2020. The $300 limit is the same for single filers and married couples who file jointly.

Higher Deduction Limits for Itemizers – 100% AGI

The CARES Act eliminates the limit on the federal charitable income tax deduction for certain kinds of gifts made in 2020. This year only, taxpayers who donate cash to a public charity such as JF&CS may take a federal charitable income tax deduction equal to as much as 100% of their adjusted gross income (AGI).

IRA Distributions – A Great Option in 2020

2020 is a good year to give away money from your IRA or another retirement account: 

  • Individuals over 70 ½ can give directly to JF&CS up to $100,000 and avoid all tax consequences.
  • Individuals over 59 ½ can withdraw unlimited amounts from their retirement accounts, which creates the opportunity to donate the distribution to JF&CS and take an offsetting deduction, thereby avoiding any federal tax on the distribution. 
  • As a further way to help JF&CS, please consider adding us as a beneficiary of your retirement account.

To learn more about the tax rules for charitable giving included in the CARES Act and other tax-wise ways to support JF&CS, please contact Jill Snider, Senior Philanthropic Advisor, at jsnider@jfcsboston.org or 508-208-2341.

The tax information provided is general and educational in nature and should not be construed as legal or tax advice. As with all important financial decisions, you may want to consult legal and financial professionals for advice.

Contact Us

781-647-JFCS (5327)
Email Us

Find Us

Headquarters
1430 Main Street
Waltham, MA 02451
Locations

Join Our Email List
CJP Support