top of page
Search

Your Donation May Qualify for a Tax Deduction

  • Parkview Partners Capital Management
  • Sep 24
  • 3 min read

Giving back to causes you believe in can be deeply rewarding, and with careful planning, it may also provide valuable tax benefits. By understanding how charitable deductions work, you can build a giving strategy that utilizes both your impact and your financial efficiency.


How Charitable Deductions May Lower Your Tax Bill


ree

Charitable deductions reduce your taxable income before the IRS calculates what you owe. This lowers your Adjusted Gross Income (AGI), which can sometimes place you in a lower tax bracket.


It’s important to note: deductions are not dollar-for-dollar credits. Instead, they reduce your taxable income, which indirectly reduces the total tax owed.


Standard vs. Itemized Deduction


To claim a charitable deduction, you generally need to itemize. Taxpayers can either:


  • Take the standard deduction (a fixed amount based on filing status), or

  • Itemize deductions such as mortgage interest, state and local taxes, and charitable donations.


If itemizing produces a higher total deduction than the standard deduction, it can make sense to itemize in order to benefit from charitable giving.


What Donations Qualify?


Not all contributions are deductible. Eligible donations include gifts to:


  • Public charities (e.g., Red Cross, schools, churches)

  • Private foundations

  • Veterans’ organizations recognized by the IRS

  • Government entities for public use (e.g., city park funding)


Non-deductible contributions include gifts to individuals, political campaigns, or the value of volunteer time. Always verify charitable status using the IRS Tax Exempt Organization Search tool.


Navigating AGI Limits


The IRS sets limits based on your AGI:


  • Cash contributions to public charities: up to 60% of AGI

  • Appreciated property (stocks, real estate): up to 30% of AGI

  • Ordinary income property: typically 50% of AGI


If your giving exceeds these thresholds, the unused deduction can be carried forward for up to 5 years.


Making an Impact with Non-Cash Donations


Donating appreciated assets can unlock significant advantages:


  • Deduct the full fair market value

  • Avoid paying capital gains taxes


Example: A stock purchased for $10,000 now worth $50,000 could generate a $50,000 deduction if donated directly—without triggering capital gains tax.


Strategic Giving Techniques


  1. Bunching Donations – Combine multiple years of giving into one large contribution to surpass the standard deduction.

  2. Donor-Advised Funds (DAFs) – Contribute once, receive an immediate tax deduction, and distribute funds to charities over time.

  3. International Giving – Donations must flow through a U.S.-registered charity or “friends of” organization to qualify.


Looking Ahead


Starting January 1, 2026, a new universal charitable deduction will allow non-itemizers to deduct up to $1,000 (single) or $2,000 (married filing jointly). This “above-the-line” deduction could expand opportunities for many donors.



Final Thoughts


Managing tax deductions for donations effectively, can require a blend of generosity, financial strategy, and compliance. With the right approach—whether donating appreciated assets, bunching gifts, or using DAFs—you can make a lasting impact on the causes you care about while strengthening your financial plan.


Disclosure


Investment advice offered through Stratos Wealth Partners, Ltd., a registered investment advisor. Stratos Wealth Advisors, LLC and Parkview Partners Capital Management are separate entities. This article is for informational purposes only and is not intended as investment, legal, or tax advice. Please consult with your professional advisors before taking any action. Past performance is not a guarantee of future results. To discuss how these strategies might apply to your specific situation, contact Parkview Partners Capital Management for a personalized consultation. https://www.parkviewpcm.com


 
 
 

Comments

Financial Advisor, Investment Advisor, High Net Worth, Wealth Management, Tax Planning, Risk Management, Financial Coordination, Retirement Planning, Charitable Giving, Columbus Ohio, Parkview Partners Capital Management

291 East Livingston Ave.
Columbus, OH 43215


Phone: (614) 427-2132

Fax: (614) 427-2132

  • LinkedIn

FORM CRS

 

Privacy Policy

​

​

Investment advisory services are offered through Stratos Wealth Partners, Ltd., a Registered Investment Advisor located in Beachwood, Ohio. [www.stratoswealthpartners.com]. 

Parkview Partners Capital Management offers its financial services through Stratos Wealth Partners, Ltd., (“Stratos”), a Registered Investment Advisor with the U.S. Securities and Exchange Commission (the “SEC”) located in Beachwood, Ohio. Parkview Partners Capital Management  operates as a DBA branch of Stratos Wealth Partners, Ltd. More information regarding Stratos may be found at www.stratoswealthpartners.com. Registration with the SEC does not imply a certain level of skill or training. Public information concerning Stratos Wealth Partners is available at https://www.adviserinfo.sec.gov. A copy of the Stratos’ current written disclosure Brochure discussing our advisory services and fees continues to remain available upon request and/or on this web site at www.stratoswealthpartners.com.

​

Stratos may only transact business in those states in which it is registered or qualifies for an exemption or exclusion from registration requirements. Stratos’ web site is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of Stratos’s web site on the Internet should not be construed by any consumer and/or prospective client as Stratos’ solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet. Any subsequent, direct communication by Stratos with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides. A copy of Stratos’ current written disclosure Brochure discussing Stratos business operations, services, and fees is available from Stratos upon written request. Stratos does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third-party, whether linked to Stratos’ web site or incorporated herein, and takes no responsibility therefore. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.
 
Information presented on this site is for informational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any product or security. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial advisor and/or tax professional before implementing any strategy discussed here. When you link to any of the websites provided here, you are leaving this website. The information and opinions contained in any of the material requested from this website are provided by third-parties as well. They are for informational purposes only and are not a solicitation to buy or sell any product mentioned. We make no representation as to the completeness or accuracy of the information provided by these third-party websites or third- party materials.

 

Please remember that different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment or investment strategy (including those undertaken or recommended by Stratos Wealth Partners, LTD), will be profitable or equal any historical performance level(s).
 
Certain portions of Stratos’ web site (i.e. newsletters, articles, commentaries, etc.) may contain a discussion of, and/or provide access to, Stratos (and those of other investment and non-investment professionals) positions and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or recommendation(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from Stratos, or from any other investment professional. Stratos Wealth Partners, LTD is neither an attorney nor an accountant, and no portion of the web site content should be interpreted as legal, accounting or tax advice.

Each client and prospective client agree, as a condition precedent to his/her/its access to Stratos’ web site, to release and hold harmless Stratos, its officers, directors, owners, employees and agents from any and all adverse consequences resulting from any of his/her/its actions and/or omissions which are independent of his/her/its receipt of personalized individual advice from Stratos.

bottom of page