2021 Charity Donation

[Akajjz]

When completing my 2021 federal taxes, my itemized deductions are slightly lower than my standard deduction.  TurboTax recommends the standard; however, I still chose to itemize because by doing so, my bottom line federal tax liability doesn't change yet my State (MD) tax liability is significantly less by itemizing on my federal return.  No issues there; however, the issue that I have is that when I review my 1040 (before finalizing/filing), it correctly shows my itemized amount...but incorrectly populates in the line below it, the additional $600 charitable deduction as if I'm taking the standard deduction (but I'm not).  How do I remove the $600 entry, which TurboTax is including but I am not entitled to?  Thanks!

[JohnB5677]

I'm not aware of this issue, but I can tell you where to go to try to clear it out,

1. Go to Deductions & Credits

2. Scroll to the very bottom

3. Select Wrap up Tax Breaks (Online)

4. Continue through the interview to 

5. Charitable Cash Contributions under Cares Act

6. Enter your donation as zero.

[Akajjz]

Thanks John.  Unfortunately, Charitable Cash Contributions under Cares Act doesn't show up anywhere for me to select.

[JohnB5677]

It looks like you have the Online version, but I'll give you both formats just in case.

You must first clear all Charitable Donation  from the Deductions& Credits input screen.

Online version

1. Go to Deductions & Credits

2. Scroll to the very bottom

3. Select Wrap up Tax Breaks (Online)

4. Continue through the interview to 

5. Charitable Cash Contributions under Cares Act

6. Enter your donation.

In the Desktop version:

1. Go to Deductions and Credits

2. Scroll to the bottom of the page

3. Select Done with Deductions

4. Let's check your Deductions .. Continue

5. Here are your 2021 Deductions ... Continue

6. The Standard deduction is right for you ... Continue

7. GET A TAX BREAK FOR DONATING CASH TO CHARITY

8. Enter your amount

[grwinski]

I have a slightly different scenario (much more common).  I am taking the standard deduction, but also want to take advantage of the extra $600 cash charity donation deduction for 2021 ($300 for me and $300 for my wife).  Turbo tax does not seem to show the additional deduction.  I tried doing the above (using the Windows/on-computer version, taking out the $600 out of the deductions list.  When I do that, I see the prompt indicating that I'm eligible for an additional $600 deduction.  But then it doesn't give me credit for that deduction later.  When I add the $600 deduction in the standard deductions list for charity (and adding the name of the charity), it shows that on the summary deductions and credits section, but then it does not provide the 'prompt', and I still don't get credit for the deduction.  What am I doing wrong?

[KrisD15]

These steps worked for testing in both versions of TurboTax, Desktop and Online: 

Please return to the Deductions & Credits section, scroll down to "Charitable Donations" and DELETE any cash entries you made there. 

(NOTE: Some states allow you to Itemize Deductions when taking the Standard Deduction on the Federal Return. To include cash charitable donations as an Itemized Deduction on your STATE return, you can enter the donations as "Items" select "I'll value them, select "Other intangible property" enter the description as CASH, since it was and the amount as the value.)

Go back through the review. The program will ask you for your charity donation again although it may not be until after the state return is finished, at the END of the FINAL REVIEW.  (After the "Tax Summary for 2021" screen)

 Enter the amount up to 600 Married Filing Joint.

Unless your cash donations are limited by your income, this procedure (listing cash as items) will give you the same result on your state return as entering under cash donations. 

The Tax law allows a Taxpayer to claim Charity Donations on their Schedule A or, if using the Standard Deduction, on their 1040 line 12b as an addition to their Standard Deduction amount. 

This amount can be up to 600 for Married Filing Joint, or 300 for all others.