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Q&A: The future is bleak for charitable deductions, early retirees’ healthcare costs

July 2, 2018 By Liz Weston

Dear Liz: When I sat down with my accountant in March to do my 2017 taxes, he said next year I will take the standard deduction. Are my contributions to charity still deductible if I take the standard deduction?

Answer: No. Charitable contributions are an itemized deduction. If you don’t itemize your deductions, you won’t get the tax break.

Congress nearly doubled the standard deduction as part of its tax reform. For married couples, the standard deduction is now $24,000, up from $12,700. The state and local tax deduction was capped at $10,000. As a result, the proportion of taxpayers who will itemize their deductions is expected to drop from about 30% to 10% or less.

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Filed Under: Q&A, Retirement, Taxes Tagged With: charitable contributions, q&a, Taxes

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