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Level 1
January 18, 2023
Question

Is a church considered a charity

  • January 18, 2023
  • 3 replies
  • 43 views
is it under the 30% charity rule

3 replies

Level 15
January 18, 2023

Is a church considered a charity

 

See https://www.irs.gov/instructions/i1040sca#en_US_2022_publink53061xd0e1287

 

Most churches are, yes.

Level 15
January 18, 2023

Churches are "50% organizations".

 

The designation of an organization as a 50%, 30%, or 20% organization affects how much you can deduct in one year if you make a very large donation.  30% and 20% organizations are uncommon. See page 14 here.

https://www.irs.gov/pub/irs-pdf/p526.pdf

 

If your total charity donations are less than 20% of your income, you don't have to worry about the designations of the groups you donate to.  

Level 2
January 19, 2023

Yes, a church is considered a charity.   

 

Regarding your question about the 30% charity rule, the total of your church cash donations plus all other charitable contributions you make during the year typically cannot exceed 60 percent of your adjusted gross income (AGI). 

 

If it does, then you cannot deduct 100 percent of your donations in the current tax year. However, the amounts you can't deduct this year can be used as a deduction over the following five years until it is used up, but not beyond that time.

 

For more info, see this TurboTax article.

 

@preacher11

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