NCF Suggests Giving Back with Stimulus Checks, as Tax Provisions Benefit Donors
Nebraska Community Foundation (NCF, NebraskaHometown.org) recently pointed out how the latest stimulus check and the extended charitable tax provisions from last year’s CARES Act can benefit donors. The COVID-19 pandemic continues to alter daily life for many Nebraskans but a third round of stimulus payments, made possible by the recently passed American Rescue Plan Act, will help navigate the first half of 2021. For the luckiest among us—those who are comfortably retired, still employed, still healthy—NCF urges people to consider reinvesting that money, or a portion of it, into the place they call home. Donating stimulus money doesn’t just benefit the community—it benefits the individual making the gift. In December, lawmakers extended charitable tax provisions from last year’s CARES Act, including:
- A deduction for charitable donors who do not itemize when filing their tax returns. If you do not itemize but make a gift to charity, you will be allowed to take a special tax deduction, up to $300, to reduce your tax liability. Joint filers can deduct up to $600.
- An increase in the deduction limit up to 100% of a donor’s annual income for cash gifts (previously the deduction was capped at 60% of annual income). If you make a gift you will be able to deduct more this year.
Nebraska Community Foundation sees this as an opportunity for community members to do their part in building a stronger, more resilient hometown, better prepared for the next unanticipated event the future inevitably holds. Learn more at NebraskaHometown.org.