Looking at the new floor for itemized charitable donations
I'm looking to see if any other FreeTaxUSA users are looking at the new floor on charitable donations.
Starting in the 2026 tax year itemizers who make charitable contributions will only be able to claim a tax deduction to the extent that their qualified contributions exceed 0.5% of their adjusted gross income (AGI).
My understanding is that if for example my AGI was $10K, then I could only claim deductions that are greater than the initial $500.
Since it's close to the end of the year I've been looking at end of year charitable giving when this new line item for 2026 came up. My thought was initially to hold off on giving this calendar year(2025) and then do the donations on Jan 1 2026. But maybe that will only be a good idea starting at the end of next year so I'm not dinged twice on the .05%.
My AGI won't change much year to year so I don't think there is much strategy for me making the big donation amount for a year when my revenue is higher. Anyway,
Anyway I'm just curious how you guys are making the best of this or approaching it.