ISNOINews
Independent Scientology and Nation of Islam news
I am reliably informed that the Church of Scientology is contacting parishioners and asking them to make donations pursuant to the extension through 2021 of the CARES Act's two charitable contribution tax deduction provisions explained below.
(1) Before 2020, charitable contributions could only be deducted if the taxpayer itemized their deductions.
Under the CARES Act, taxpayers who don't itemize deductions may take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying organizations. For the purposes of this deduction, qualifying organizations are those that are religious, charitable, educational, scientific or literary in purpose, such as the Church of Scientology.
The year-end Coronavirus relief bill extended the $300 charitable contribution deduction for nonitemizers through 2021. The bill also increased the deduction to $600 for married taxpayers filing jointly.
(2) Before 2020, an individual taxpayer making itemized deductions couldn't claim charitable contribution deductions in excess of 60% of such taxpayer’s AGI (Adjusted Gross Income).
The CARES Act increased that limitation to 100% of AGI for the 2020 calendar year, allowing individuals to offset all of their income with charitable contribution deductions.
The year-end Coronavirus relief bill extended that rule through 2021
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As indicated above, I am reliably informed that the Church of Scientology is asking parishioners to take advantage of the extension through 2021 of these tax deduction provisions.
Personally, I don't think that the increase of the deduction limit for itemizers from 60% of AGI to %100 of AGI will make any difference. (At least I hope not.) However, the $300 deduction for nonitemizers, $600 if filing jointly, may snag some additional annual or other IAS donations. The annual IAS membership fee is $250. Perhaps parents will be convinced to obtain those first annual memberships for their children. (Yes, I am aware of that pitch.)
Sources:
www.irs.gov
COVID-19 Relief Law: Tax Extenders and Resolved PPP Expense Deductibility
Final COVID-19 relief bill of 2020 provides tax support and expands the PPP | Explore Our Thinking | Plante Moran
Many tax provisions appear in year-end coronavirus relief bill
www.jdsupra.com
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(1) Before 2020, charitable contributions could only be deducted if the taxpayer itemized their deductions.
Under the CARES Act, taxpayers who don't itemize deductions may take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying organizations. For the purposes of this deduction, qualifying organizations are those that are religious, charitable, educational, scientific or literary in purpose, such as the Church of Scientology.
The year-end Coronavirus relief bill extended the $300 charitable contribution deduction for nonitemizers through 2021. The bill also increased the deduction to $600 for married taxpayers filing jointly.
(2) Before 2020, an individual taxpayer making itemized deductions couldn't claim charitable contribution deductions in excess of 60% of such taxpayer’s AGI (Adjusted Gross Income).
The CARES Act increased that limitation to 100% of AGI for the 2020 calendar year, allowing individuals to offset all of their income with charitable contribution deductions.
The year-end Coronavirus relief bill extended that rule through 2021
*****
As indicated above, I am reliably informed that the Church of Scientology is asking parishioners to take advantage of the extension through 2021 of these tax deduction provisions.
Personally, I don't think that the increase of the deduction limit for itemizers from 60% of AGI to %100 of AGI will make any difference. (At least I hope not.) However, the $300 deduction for nonitemizers, $600 if filing jointly, may snag some additional annual or other IAS donations. The annual IAS membership fee is $250. Perhaps parents will be convinced to obtain those first annual memberships for their children. (Yes, I am aware of that pitch.)
Sources:
How the CARES Act changes deducting charitable contributions | Internal Revenue Service
COVID Tax Tip 2020-153, November 12, 2020
COVID-19 Relief Law: Tax Extenders and Resolved PPP Expense Deductibility
Final COVID-19 relief bill of 2020 provides tax support and expands the PPP | Explore Our Thinking | Plante Moran
Many tax provisions appear in year-end coronavirus relief bill
COVID-Related Tax Relief Act Summary | JD Supra
Congress passed the $900 Billion COVID-Related Tax Relief Act of 2020 (“COVIDTRA” or “the Act”) as part of the Consolidated Appropriations Act of...
www.jdsupra.com
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