If You Plan On Claiming That Charitable Deduction, Read This
Donating to charities you support is a very noble thing. But, if you plan to take a tax deduction for your gift, you must have the proper paperwork. Assembling the correct documentation can be tricky because the requirements vary based on whether the donation is cash and on the value of your gift. For example, if you donate less than $250 in cash, a canceled check, credit card statement or similar record may be sufficient. However, if you give more, you will need a written acknowledgement from the charity. An additional tax form – and possibly an appraisal – may be needed for non-cash donations (depending on their value). Lastly, the organization you donate to must qualify as a charity under IRS rules.