3 ms·
I forgot the standard deduction went up a lot. I think you can still easily reach if you, say, tithe 5 or 10% of your (post-tax even!) income (to a church or o
by jrochkind1 3y ago
I forgot the standard deduction went up a lot.
I think you can still easily reach if you, say, tithe 5 or 10% of your (post-tax even!) income (to a church or other 501-c-3) and have a mortgage and pay property taxes in a major metropolitan area. (Also if you're single the standard deduction is half married filing jointly.) (I didn't realize the personal exemption is gone now too!!)
But a quick google says... according to the IRS in 2022, 139.2 out of 154.3 million tax returns took the standard deduction, which is indeed around 90%. (Looks like up from 87% in 2020 maybe). So, true, defintiely most people, but still 10% not.
It looks like maybe pre recent Trump standard deduction changes (which were phased in), as many as 30% of filers itemized. (Still a minority to be sure).
I wonder if charities have seen a big hit in donations, if the itemized deductions people are no longer taking were an incentive.
- jdeibele 3y agoI don't know if they have but charities (nonprofits and churches) lobbied against increasing the standard deduction or to make an exception for charities. Which didn't happen. https://www.philanthropy.com/article/nonprofits-hunt-for-a-tax-win-after-dismal-lobbying-results/ https://www.philanthropy.com/article/nonprofits-hunt-for-a-t... I guess there was a $300 provision for charitable deductions enacted in 2020 that they are trying to make permanent and larger. Web site wasn't working for me but Google's cache did: https://webcache.googleusercontent.com/search?q=cache:WdabFa5AE-4J:https://www.rollcall.com/2022/01/26/charities-lobbying-to-restore-expanded-tax-deduction-for-giving/&hl=en&gl=us&strip=1&vwsrc=0 https://webcache.googleusercontent.com/search?q=cache:WdabFa...
- frumper 3y agoThe cash donations on top of the standard deductions phased out this year. This year, as far as I could tell, only way to deduct cash donations was itemizing.\ https://www.nerdwallet.com/article/taxes/tax-deductible-donations-charity https://www.nerdwallet.com/article/taxes/tax-deductible-dona...