The new CARES (Coronavirus Aid, Relief, and Economic Security) Act is designed to help you, businesses and nonprofits facing economic hardship during the coronavirus pandemic.
Here are a few key provisions of the CARES Act that may affect you and your charitable goals:
New Tax Incentives
The CARES Act expands charitable giving incentives and allows taxpayers who take the standard deduction to make up to $300 of charitable contributions to qualified charities this year. While this may seem like a small amount, collectively these gifts could make a huge impact to help the zoo through this difficult time.
For those who itemize their deductions, the new law allows for cash contributions to be deducted up to 100% of your adjusted gross income for the 2020 calendar year. The limitation on deductions for cash contributions by corporations has also been temporarily increased, from 10 percent of taxable income to 25 percent.
Required Minimum Distributions Suspended
The new law temporarily suspends the requirements for required minimum distributions (RMD) for the 2020 tax year. Many of our donors use their RMD to make a gift from their IRA. Despite the RMD suspension, remember that if you are 70½ or older, you can still make a gift from your IRA or name the Oregon Zoo Foundation as a beneficiary.
Why a Gift From Your IRA May Still Be a Good Idea
- You can see the impact your donation is making today.
- You pay no income taxes on the gift. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.
- Since the gift doesn’t count as income, it can reduce your annual income level. This may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax.
Please contact Susan Daigle at Susan.Daigle@oregonzoo.org or call 503-914-6029 to discuss how your gift can help further our mission. Please note that this information is not intended as legal or tax advice. You should consult an attorney or tax advisor regarding your personal financial situation.