How to Donate to Charities

Get A Tax Write-Off

• Remember, not all charitable donations are tax-deductible. This is because "tax-exempt" does not mean "tax-deductible." If you want to make sure you can deduct your donation, look for an organization that has 501(c)(3) status. This means that donations are deductible. If you aren't sure about the 501(c)(3) status of your organization of choice, then ask. It will be more than happy to tell you.

  According to the IRS, you can deduct donations to:

  * Religious organizations

  * Federal, state or local governments

  * Non-profit schools and hospitals

  * Public parks and recreation facilities

  * War veterans groups

  You can't deduct donations to:

  * Individuals

  * Labor unions

  * Social or sports clubs

  * Foreign organizations (except certain Canadian and Mexican charities)

  * Homeowner's associations

  * Political candidates

  Once you have determined that your gift is, in fact, deductible, find the receipts that prove you made your donation. If you have given a non-monetary gift (such as a car or clothing), you are entitled to deduct the fair market price, which means that you might need to get an appraisal. If you get something in exchange for a donation (say, tickets to a charity ball), you must deduct what is the fair market price of that perk.

  If you donate less that 20 percent of your Adjusted Gross Income in a particular year, you can deduct it all. If you donate more than 20 percent, you'll have to talk to the IRS to figure out exactly what deductions you qualify for.