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Deductions & credits
You are correct, the $300 is an above-the-line credit. Without seeing your return it is hard to tell why your refund did not change. Is the correct amount (above $300) on Form 1040 line B? If it is not then please try the following:
- Delete the $300 in the error check.
- Then go back to Deductions & Credits and enter the contribution there, in the Donations to Charity topic.
- Then click Done with Donations and proceed through the screens until you get to the screen that tells you that TurboTax has added in the contribution.
The contribution will be back on Form 1040 line 10b.
Previously, charitable contributions could only be deducted if taxpayers itemized their deductions.
However, taxpayers who don't itemize deductions may take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying organizations. For the purposes of this deduction, qualifying organizations are those that are religious, charitable, educational, scientific or literary in purpose. The law changed in this area due to the Coronavirus Aid, Relief, and Economic Security Act. The itemize / standard deduction issue can cause the software to have this type of issue. Please let us know if this solution works for you.