Charitable Contributions in TurboTax Business

[irhadk]

I am using TT Business first time for our one year old partnership. in the deduction sections I see Charitable Contributions section. Are charitable contributions really deductible for LLC partnerships? 

[Critter-3]

Partnerships filing a form 1065 are PASS THRU entities and the deduction for the charitable contributions are passed thru to the partners on the form K-1 and are used on the personal tax return form 1040 on the Sch A if that partner itemizes deductions.  

[Opus 17]

Also remember that the same rules apply as for individuals.  You can't claim a deduction for the value of your time, free labor, or the loan or use of property.  If you donate income property (something that would create taxable income if you sold it) you can only deduct the cost basis.

For example, if you are a painter and your paintings normally sell for $500 but actually contain $50 of wood, canvas and paint, the value you can claim for donating a painting is $50; or you can book the $500 as gross taxable income as if you sold it to someone, and then you can deduct the $500 value.  (But either way, the net result is a $50 deduction for materials.)  If you own a B&B and give a free weekend to a charity auction, you can't deduct the lost revenue.  Your tax "reduction" is the fact that you have less revenue to pay tax on so you pay less tax.

All the rules are in publication 526.

https://www.irs.gov/forms-pubs/about-publication-526