CHARITABLE CONTRIBUTIONS DEDUCTION OF MAX $300

I'm using Home and Business and TT is not entering the $300 deduction on line 10-b of Form 1040 even though I have charitable contributions worth more than that and I am taking the standard deduction. This is a special Cares Act deduction for 2020 only. Lots of people will be taking this deduction this year, so I hope TT will correct this error quickly, otherwise I can't file.

Deductions & credits

In order to take this above-the-line deduction, enter your donation(s) under Deductions & Credits > Charitable Donations > Donations to Charities in 2020.  The deduction will be added above-the-line by TurboTax after you have completed the  Wrap up tax breaks interview in TurboTax if you take the Standard deduction.

 

On your form 1040, this deduction appears on line 10b - Charitable contributions if you take the standard deduction.

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Deductions & credits

I am a tax preparer and just e-filed my personal tax returns through Turbo Tax. After downloading the returns I noticed that my $300 above the line charitable contribution was added as income on my state return which it should not be. Wondering if I need to amend the state return or leave it alone if it doesn't affect my refund.

DaveF1006
Expert Alumni

Deductions & credits

It depends on what state you live in. If it doesn't affect your return, I would leave it as such. Out of curiosity, what state do you live in as I have seen this once or twice.

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Deductions & credits

I live in NC. Seems like TurboTax should be made aware of this.

Anonymous
Not applicable

Deductions & credits

Seems like an NC tax preparer should be made aware of the NC rules.  🙂  TurboTax is doing this properly. 

 

NC does not conform to the federal above-the-line deduction.  TurboTax is correctly adding it back per North Carolina rules.   

 

 

 

 

AmyC
Expert Alumni

Deductions & credits

@Lexi0912  NC changed their laws to make the charitable donation taxable. Here is the actual bill. See the top of page 4,#18.

 

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Money1957
Returning Member

Deductions & credits

where do you enter(input) the $300 above the line charity name(s) and amounts?

Deductions & credits

HI. I posted the original question in this thread (Kathy-102) The very first reply, from Bsch4477 is the correct and detailed answer. So if you go back up to the beginning of the thread and find the first reply, there you will find the answer. Good luck.

Money1957
Returning Member

Deductions & credits

I saw the reply but how do you get (access) to deductions and credits? thank you

Money1957
Returning Member

Deductions & credits

I'm using tubotax deluxe.

Deductions & credits

Hi Money1957. Sorry, I don't know what would work for you in TT Deluxe, I just know that the reply from Bsch solved my problem. It could be that if you post your question as a new thread, (instead of as a reply to my question) someone else will see it and answer it. I'm sure a lot of other people are facing the same problem. Good luck.

Irene2805
Expert Alumni

Deductions & credits

In order to take a deduction for your charitable donations if you are taking the standard deduction, there is an extra step to take in addition to entering the figure in charitable donations.  Please follow these steps:

  1. After entering your deductions, you will see a screen telling you which method is right for you -- standard or itemized deduction. 
  2. If you are taking the standard deduction, after that screen you will see a Charitable Cash Contributions under Cares Act.  [See screenshot below.]  Enter the amount of your charitable contribution in the box (up to $300).  Click Continue.

 

@Money1957

Deductions & credits

Thanks, Irene2805. Could you please make sure that Money1957 also gets your reply? (I'm not sure how it all works exactly.)

Irene2805
Expert Alumni

Deductions & credits

@kathy-102 --

 

I added Money1957's username to the end of the post, so he should get it!