While tax laws are pretty complicated, there are still some general limits on charitable tax deductions. These limits only apply if you are donating a significant amount – more than 20% of your adjusted gross income (AGI). If you are not donating more than this amount in a year, then deduct away!
Once you reach the 20% threshold though, you should know the different limits on tax deductions that come into play. You can’t deduct more than 50% of your adjusted gross income (AGI) for cash donations, 30% for property, and 20% for assets. If you go over your limit for one year, you can roll the deductions out overthe next five years – and hopefully you’ll be able to deduct it all.