2021 TAX BENEFITS
Missouri State Donation Tax Benefits
The State of Missouri allows for taxpayers who donate cash to a food pantry, homeless shelter, or soup kitchen to claim a tax credit. The credit claimed shall equal 50% of the value of the contribution or donation made. Credits cannot exceed $2,500 per taxpayer per year.
Please call Andy Bundesen, Director of Development, at (314) 231-8209 and we will make sure to send you a signed Form MO-FPT that you can utilize when filing your 2021 taxes.
For more details on the Form MO-FPT, please visit the Missouri Department of Revenue website.
Federal Tax Benefits
The Taxpayer Certainty and Disaster Tax Relief Act extended some tax changes originally enacted by the Federal CARES Act.
For donors who do NOT itemize their deductions:
The Act permits individuals who take the standard deduction to claim a limited deduction for their charitable contributions on their 2021 federal income tax returns. Individuals, including married individuals filing separate returns, can claim a deduction of up to $300 for cash contributions made to qualifying charities during 2021. The maximum deduction is increased to $600 for married individuals filing joint returns.
For donors who DO itemize their deductions:
Individuals who itemize may generally claim a deduction for charitable contributions made to qualifying charitable organizations with limits typically ranging from 20% to 60% of adjusted gross income (AGI). This Act temporarily modifies such limitations from a maximum of 60% up to 100% of adjusted gross income. If an individual’s contributions exceed the 100% limitation, the excess contributions may be carried over for the next five tax years.
The modification of limitations applies to cash contributions paid in the 2021 calendar year and where the taxpayer has elected the application of this provision.
*The information above has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice.