As new rules affecting charitable deductions take effect in 2026, here are some key changes donors should keep in mind.
As much of the East recovers from snow and ice storm Fern, we hope you are staying safe and warm.
While life returns to normal, it’s also a good time for donors to start preparing 2025 tax filings and to begin planning charitable giving for 2026.
With many already receiving W-2s and other tax documents, this is a good moment to consider the tax implications of your charitable giving.
Whether you prepare your own taxes using online services or work with an accountant, charitable giving can have important tax implications.
Filers must first decide between taking the standard deduction, which varies by filing status, or itemizing their deductions.
Itemizing allows you to subtract certain expenses from your adjusted gross income (AGI), which can reduce the amount of tax you owe.
Common itemized deductions include:
Last year’s One Big Beautiful Bill, signed on July 4, 2025, permanently reinstated a tax rule that applies beginning with the 2026 tax year.
Under this rule, non-itemizers (those taking the standard deduction) may deduct up to $1,000 in qualified charitable contributions ($2,000 if filing jointly).
While this deduction does not apply to the 2025 tax year (returns filed in 2026), it is something to keep in mind when planning your charitable giving in 2026, which will be reported on your 2027 tax return.
What charitable donations qualify?
While we always encourage generous giving to trusted charities, contributions above the limits for non-itemized deductions cannot be carried forward from year to year and these deductions cannot be used in conjunction with a private foundation or donor-advised funds (DAF).
There are also new rules for itemizers stemming from the 2025 legislation.
Under these rules, itemizers will be able to deduct only cash contributions exceeding 0.5% of AGI, but no more than 60% of AGI in a single year. For example, if your AGI is $100,000, only gifts above $500 are eligible for deductions.
Some individuals may choose to lump several years of charitable contributions into a single year or take advantage of the flexibility offered by donor-advised funds (DAFs).
Other effective strategies include qualified charitable IRA distributions and gifts of appreciated stock. Stocks, and other non-cash assets, can be deducted at full market value before taxes, allowing donors to avoid capital gains taxes.
Charitable IRA distributions can lower AGI (and taxable income) and even reduce Medicare premium in the long run.
Corporate giving will now be subject to a new 1% AGI floor.
Contributions below this threshold may prompt organizations to either increase giving in a single year to qualify for the deduction or bundle multiple years’ contributions into one year to maximize tax benefits.
It’s still unclear how much charities will benefit from the new tax regulations, but many hope that the standard-deduction advantage could generate much needed revenue.
Some projections anticipate a short-term boost, with the potential for long-term donor re-engagement that could help reverse the trend of a shrinking donor base.
Ultimately, the impact depends on everyday donors, so we encourage everyone to make 2026 giving plans that benefit you, support charities, and make a meaningful difference.
If you’re looking for official guidance on what kinds of charitable contributions qualify for deductions—and how to document them—refer to the IRS booklet on charitable deductions IRS Publication 526.
This resource outlines the rules for cash and non-cash donations, recordkeeping requirements, and limits based on income. The “about” page will be updated as IRS Pub 526 updates.
Whether you’re itemizing or claiming the standard deduction, reviewing this IRS guide can help ensure your giving meets the criteria for tax benefits.
We are always working with charities to publish or update reports for donors. Visit Give.org to check out any charity before giving. Our recently evaluated charities include:
Finally, remember to let us know by going to give.org/charity-inquiry if you are interested in seeing a report on a charity not on the list and we will do our best to produce one.
