For the current season’s 2025 tax returns, charitable contributions can be deducted only if you choose to itemize deductions. Most tax filers (91%) take the standard deduction because it usually provides a larger tax benefit than itemizing tax deductions.
However, the rules for charitable deductions have changed.
New Charitable Deduction for Non-Itemizers
Starting this year (applies to next year’s tax return), you can deduct a certain amount of charitable contributions without itemizing.
Money donated by cash, check or credit card qualifies; donations of goods (furniture, clothing, toys, etc.) do not.
Maximum Allowed Deduction:
- Single filers: $1,000
- Married filing jointly: $2,000
Example: In 2026, Sally and Harry are married filing jointly and are in the 22% marginal tax bracket. They donate $2,000 to charity and take the standard deduction. Their donation could reduce their federal income tax liability by a maximum of $440.
Changes to Itemized Charitable Deduction Rules
Also new for 2026 tax returns, filers who itemize can still deduct charitable contributions, but there’s now a floor to meet. You may deduct only the portion of charitable gifts that exceeds 0.5% of your Adjusted Gross Income (AGI).
Example:
- Jane age 45, AGI = $75,000
- She donates $2,000 to charity
- Jane chooses to itemize deductions
- The first $375 (0.005 x $75,000 = $375) is not deductible
- Jane can deduct $1,625 of the charitable deduction
Since 2026 the standard deduction for a single filer under 65 is $16,100, Jane would need at least $15,476 additional itemized deductions for itemizing to be worthwhile.
High-Income Earners’ Charitable Deduction Cap
A very small percentage of individual tax filers who itemize will have their charitable deductions capped at 35% instead of the current 37%. This applies to:
- Single filers with taxable income over $640,600
- Married filing jointly with taxable income over $768,701
Should You Itemize Deductions?
This UF/IFAS Hillsborough County article explains how to compare which deduction works best for you Standard vs Itemized Deductions: Which Is Right for You?
Sources:
“What is the standard deduction.” Tax Policy Center
“Changes to Charitable Giving Under the One Big Beautiful Bill Act.” Tax Foundation
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