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New Member
posted May 31, 2019 6:22:30 PM

Do charitable contributions reduce federal taxable gross amount? last year they did not seem to, maybe I am missing something. I help 501(c)3 organizations $200 or so.

0 4 1042
4 Replies
Alumni
May 31, 2019 6:22:31 PM

No!  Deductions are reported on Schedule A Itemized Deductions and reduce your Taxable Income but not your Gross Income nor your Adjusted Gross Income.

Charitable donations are reported if you Itemize Deductions (As opposed to using the so-called  Standard Deduction - Single @ $6,300. heads of household @ $9,300, and married couples filing jointly.$9,300).  If you do not itemize, it would not matter.  

New Member
May 31, 2019 6:22:33 PM

Thank you for the answer. To clarify, as an example with fictitious numbers if you don't mind, my Dec pay stub says: "Total Gross YTD $92,000;" then "Fed Taxable Gross YTD $$85,000." If I itemize the charity donations of say $300, wouldn't the "Fed Taxable Gross" for the year be reduced by $300? Thanks again.

Level 15
May 31, 2019 6:22:33 PM

Only if your itemized deductions already exceed the Standard deduction listed in the answer above.

Alumni
May 31, 2019 6:22:34 PM

I repeat, Deductions do not reduce Gross Income.  Deductions reduce Taxable Income.   Gross Income is all taxable reported income.  Adjusted Gross is after certain specific allowances - such as Self-Employed Medical insurance.  Schedule A reduces AGI and leaves Taxable Income, after Exemptions.