Expanded Giving Potential Under the CARES Act

With the passage of the CARES Act, various forms of relief are now available to Creative Workers who might desperately need it.

Non-profit Arts Organizations may also stand to benefit from another provision of the CARES Act – expansions to the Charitable deduction.

Here’s the run down:

  • Tax payers who do not itemize their deductions (88% of Americans) can take a $300 above the line deduction for CASH donations to public charities and foundations in 2020.
  • For those who do itemize, charitable deductions were previously capped at 60% of Adjusted Gross Income. With the passage of the CARES Act, these taxpayers can deduct up to 100% of AGI for charitable donations in 2020 (still cash only).
  • The CARES Act also raised eligible contributions from corporate donors from 15% to 25% for 2020.

Donations to private Donor-Advised funds that may support the non-profit sector are not eligible for these expanded deductions.

As individuals and businesses weather the COVID-19 crisis, these expansions may incentivize donors to give in sooner rather than later, assisting organizations that are in need of immediate relief.

Although these provisions are temporary, the SC Arts Alliance is working hard with our National Partners on ways to codify some of these charitable giving incentives in future legislation.

For more resources and advocacy updates, check out our COVID-19 Resource Page, and be sure to subscribe to our free Newsletter.

Contact Us

We're not around right now. But you can send us an email and we'll get back to you, asap.