charitable contributions Archives - Blau Company Accounting & Tax Preparation

Time to Start Organizing Your Deductions

A deduction is an expenditure that will reduce your taxable income. There are two kinds of deductions: adjustments to income and itemized deductions. The adjustments to income are the better of the two, as they reduce adjusted gross income, or “AGI.” Itemized deductions reduce your taxable income. First, we will look at some adjustments to income. Educator expenses apply to K – 12th grade educators, and are limited to $250 of documented supplies per qualified taxpayer. Expenses exceeding $250 can be taken as a miscellaneous itemized deduction. A health savings account is an account set up exclusively for paying the [...]

Aaron Blau, EA, CPA2016-10-27T16:54:57-07:00August 22nd, 2014|Business Tax, Personal Tax|Comments Off

Arizona Tax Credits

We would like to remind you of the tax credits available for charitable contributions to certain causes. Arizona tax credits are available to reduce your tax liability dollar-for-dollar, but are not refundable. Unused contribution credits roll forward to future years. A taxpayer who makes $1,800 of eligible contributions but has only a $400 liability will reduce their liability to $0 and have $1,200 available for future years. You will find your 2011 State of Arizona tax liability on Form 140 Line 24. If you have any questions, please contact our office. […]

Aaron Blau, EA, CPA2018-08-13T18:05:40-07:00July 5th, 2013|Personal Tax|Comments Off

Tax Breaks for Volunteers

If you are a volunteer worker for a charity, you should be aware that your generosity may entitle you to some tax breaks. Although no tax deduction is allowed for the value of services you perform for a charitable organization, some deductions are permitted for out-of-pocket costs you incur while performing the services (subject to the deduction limit that generally applies to charitable contributions). This includes items such as: […]