How to Donate Money to Reduce Taxable Income

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When you need to reduce taxable income and have already used up other options, you can donate money to charitable organizations. There are several ways to make a tax-deductible donation by following some guidelines.

In most cases, you will need to itemize your deductions. To do so, you will need to have more deductions than what is allowed for the standard deduction.

The Standard Deduction

The government passed the Tax Cuts and Jobs Act of 2017 to raise the amount of the standard deduction. When they did, it made it harder for many people to benefit from some types of charitable donations.