The Parkersburg Area Community Foundation reminds taxpayers of a special new provision that will allow individuals to easily deduct up to $300 in donations to qualifying charities this year. Following Internal Revenue Service tax law changes, cash donations of up to $300 made before December 31, 2020 are now deductible when individuals file their taxes in 2021.
“Our region’s charities are diligently working to help those impacted by the COVID-19 pandemic,” said Julie Posey, Development and Communications Officer for the Parkersburg Area Community Foundation (PACF). “We want to remind the community that we’re still seeking support for our Hunger Fund and Safety Net Fund, which are our region’s two COVID-19 relief funds designed to provide meaningful support our area agencies and individuals.”
The Coronavirus Aid, Relief, and Economic Security (CARES) Act, enacted last spring, includes several temporary tax changes helping charities, including the special $300 deduction designed especially for people who choose to take the standard deduction, rather than itemizing their deductions. Under this new change, individual taxpayers can claim an “above-the-line” deduction of up to $300 for cash donations made to charity during 2020. This deduction lowers both adjusted gross income and taxable income – translating into tax savings for those making donations to qualifying tax-exempt organizations.
Cash donations include those made by check, credit card, or debit card. They don’t include securities, household items, or other property.
“100% of what is given to support the Foundation’s COVID-19 relief funds will be returned to our community,” said Posey. “Because of the work of the PACF and these two funds, we’re able to quickly and resourcefully allocate funding into our region.”
Individuals who wish to make a donation to the PACF and/or one of its COVID-19 relief funds that qualifies for this special tax deduction may send a check made payable to the “PACF” mailed to PACF, PO Box 1762, Parkersburg, WV 26102 (postmarked by 12/31/20) or make a gift online at www.pacfwv.com/donate (made by 12/31/20). Individuals with questions may contact the PACF at 304-428-4438.