Now is the time to dole out those donations to your favorite charity, but Allison Miller, CPA, who is the tax manager of the San Antonio accounting firm ATKG, says it has to be done right in order to maximize your deductions when April rolls around, News Radio 1200 WOAI reports.
"One thing we ask our clients to consider is donating publicly traded securities, instead of cash," she said. "Your donation would be equal to the fair market value of the stock, at the time that you made the donation."
She says it is key to keep receipts, detailed descriptions, and dates for all charitable donations.
One easy way to make donations that will maximize your deductions in 2018 is to put the donations on a credit card.
"One of the best things to know, if you're thinking about year end charitable giving, is that if you charge the donation to your credit card in 2017, it is actually deductible on your 2017 taxes, even if you wait and pay the bill in 2018.”
And Miller stresses that it is critical to get a tax benefit from your donation is that you itemize!
“If you choose to take the standard donation instead of itemizing your deduction, the only benefit you will receive is the satisfaction of having donated to your favorite charity.”