Charitable Giving “Nonitemizer” Deduction included in CARES Act

While many in our community are navigating the CARES act for reasons pertaining to their small business or for income assistance during this time of uncertainty, there is also a charitable contribution provision that is worth noting for members of the Whitewater community looking to support COVID-19 relief efforts as well as continuing the efforts of other non-profits.

The CARES Act creates a $300 “nonitemizer” deduction for 2020. For individuals who do not itemize deductions on their tax returns there is still an incentive for increased charitable giving.

The deduction:

  • Is in full effect as of Friday, March 27 and will apply to donations made for all of 2020
  • Only for people who do not itemize their taxes
  • Donors who itemize their taxes are eligible for the existing charitable deduction
  • Only for cash donations (not in kind)
  • Can be used by the charity for any purpose (not limited to COVID-19 relief efforts)
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