Powerful new tax deduction for American not-for-profits serving Israel
Powerful new tax deduction for American not-for-profits serving Israel:
A reliable, quick tax deduction for good-intentioned Americans in Israel and abroad:
American not-for-profits serving Israel can act quickly to bring in a plethora of many small donations that can add up to hundreds of thousands of dollars if they run a “Hanukah fund raiser” right now. Hanukah may not be a Hag from the Torah, may it be forever blessed, but Hankukkah is a good a reason as any for many good-intentioned people to be motivated to donate to our great not-for-profits. All Americans both here in Israel and abroead who want a quick, extra tax deduction should also read this article but the donations have to be in the next 2 to 3 weeks to an American not-for profit:
This brief article can give Americans an extra 300 USD tax deduction that they wouldn’t ordinarily have. Any any not-for-profit that runs a 2 week “Hanukkah fund raiser” can give Americans a great reason to donate because it makes more smarts on their tax reports because of this new law change:
Not-for-profits in America that serve Israel may have lots of people, many names, that they regularly contact for donations. Many of those people may want to donate but they don’t because they don’t receive a tax benefit without itemizing their American taxes.
Because of the standard tax report, the standard deduction, which offers a very generous standard tax deduction to American taxpayers, many people do not “itemize” their American tax deductions. Itemizing may bring a bigger benefit because the deduction can be larger than the standard deduction that most people receive. However,
In order for the itemized tax deductions to be greater than the standard tax deduction, usually the person has to spend a lot of money in certain areas. In other words, some very big tax deductions need to be included so to bring the itemized deduction amount higher than the standard deduction amount so that it makes sense. Only then, would charitable contributions be deductible on the standard American’s tax report.
Itemized deductions are things like large interest payments on home mortgages or real estate taxes on the house where the person lives, or very significant health care expenses: these could usually bring the itemized deductions amount higher than the standard deduction, so that their charitable contributions would make financial sense to them. However, if the taxpayer did not itemize it usually did not make sense to donate small amounts because they would not be tax deductible on the standard American report.
So, anyone who before used the standard deduction on his American tax report would have been hesitant to do the good, and donate to charity before this new law: He would have said, “It doesn’t make sense to me because I can’t deduct my contributions. This is because I don’t itemize my taxes.”
Now!
American not-for-profits that serve Israel may want to forward this Weinstein article to all those donors on their list very quickly, and Americans who want to do the good and also receive a sizeable tax deduction should also act quickly in the next 2 to 3 weeks. This is because now under the new American law all Americans can deduct from their American tax report the first 300 USD they spend on donating to a not-for-profit 501(c)(3) that serves Israel. So this is a pleasant surprise for the good people who want to donate. Where before they said they don’t see the benefit of donating on their taxes, now all American taxpayers can receive the deduction. Americans here in Israel and abroad may want to donate quickly to “American Friends” not-for-profits {before 31-Dec, 2020}, because this may help them take a tax deduction and help them also relieve their desire to donate and do the good: which they already have the desire to do so:
Although 501(c)(3) contributions are “tax deductible” in the legal sense, before this recent law change the person donating would before not have received an American tax benefit unless he itemized his taxes and had other large deductions to offset them. Now, with only 2 or 3 weeks left in 2020, Americans here in Israel and also Americans abroad should run to make 300 USD donations to our American not-for-profits that serve Israel:
For a list of not-for-profits, click here: Registered American not-for-profits
The IRS now allows all American taxpayers to deduct up to 300 USD in cash donations to a 501(c)(3) if they make donations to not-for-profits before 31-Dec, 2020. They can take the 300 USD tax deduction on their 2020 taxes whether they itemize or whether they take the standard deduction. The 300 USD tax deduction is received.
This new law gives Americans here in Israel and Americans abroad the remainder of 2020 to make the 300 USD donations to registered not-for-profits so they can take the 300 USD American tax deduction on their 2020 report.
This article is not intended nor should it be construed to be legal advice or tax advice. Neither Weinstein and Co, CPAs nor Alan Moldof, CPA are licensed to give legal advice to Americans. Tax advice can only be given to a person or company after careful study of that client’s prior history, earnings and spending activity. Therefore, each individual should consult privately with a tax advisor on his particular circumstances and contract with a competent CPA for direct advice pertaining to his particular situation.
