Tax Tip 2016: Out-of-Pocket Charitable Deductions

published 2 February 2017

You’re less likely to forget the big check you wrote to a charity when tax time rolls around. You probably received a receipt from the lucky organization acknowledging your donation. If not, there should be a cancelled check or credit card statement floating around to serve as a reminder.

But it’s easy to overlook small out-of-pocket costs incurred while doing work for a charity. For example, ingredients for casseroles you prepare for a nonprofit's soup kitchen and stamps you buy for a school's fund-raiser count as charitable contributions.

Save your receipts. If your contribution totals more than $250, you'll also need an acknowledgement from the charity documenting the support you provided. If you drove your car for charity in 2016, remember to deduct 14 cents per mile, plus parking and tolls paid, on your tax return.

Subscribe to Kiplinger’s Personal Finance

Be a smarter, better informed investor.

Save up to 74%

https://cdn.mos.cms.futurecdn.net/hwgJ7osrMtUWhk5koeVme7-200-80.png

Sign up for Kiplinger’s Free E-Newsletters

Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.

Profit and prosper with the best of expert advice - straight to your e-mail.

See IRS Publication 526 for more on charitable contributions.

Plus, learn more about all 23 commonly overlooked tax deductions before you file your federal return.

McCormally retired in 2018 after more than 40 years at Kiplinger. He joined Kiplinger in 1977 as a reporter specializing in taxes, retirement, credit and other personal finance issues. He is the author and editor of many books, helped develop and improve popular tax-preparation software programs, and has written and appeared in several educational videos. In 2005, he was named Editorial Director of The Kiplinger Washington Editors, responsible for overseeing all of our publications and Web site. At the time, Editor in Chief Knight Kiplinger called McCormally "the watchdog of editorial quality, integrity and fairness in all that we do." In 2015, Kevin was named Chief Content Officer and Senior Vice President.