Question

I would like to take advantage of my Goodwill donations tax deduction. If I have the receipts for Goodwill donations totaling less than 5000, do I also need a donation receipt letter from Goodwill?

Answer

 

The type of donation records which may include a donation receipt letter will depend upon the amount of your contributions and whether they are:

  • Cash contributions
  • Noncash contributions
  • Out-of-pocket expenses when donating your services

Typically, an organization must give you a written statement if you donate more than $75.

Cash contributions

Cash contributions are those paid by:

  • Check
  • Electronic funds transfer
  • Debit or credit card
  • Payroll deduction

If you make a cash contribution, you must have one of these:

  • A bank record that shows:
    • Name of the qualified organization
    • Date of the contribution
    • Amount of the contribution
  • A receipt or letter from the qualified organization showing:
    • Name of the organization
    • Date of the contribution
    • Amount of the contribution
  • Payroll deduction records — These can include a pay stub, your W-2, or another document from your employer.

Noncash contributions

To qualify for a Goodwill donations tax deduction of noncash contributions or noncash contributions made to other charitable organizations The records you must keep depend on:

  • The type of contribution
  • The amount of your contribution

To deduct a noncash contribution in any amount, you’ll need to get and keep a receipt, letter, or other communication from the charitable organization showing:

  • The name of the qualified organization
  • The date and location of the charitable contribution
  • A reasonably detailed description of the property

You must also keep reliable written records that include:

    • The name and address of the organization to which you contributed
    • The date and location of the contribution
    • A description of the property in detail reasonable under the circumstances
    • The fair market value (FMV) of the property at the time of the contribution and how you determined the FMV. If it was determined by appraisal, you should also keep a copy of the signed appraisal.
    • The cost or other basis of the property
    • The terms of any conditions attached to the contribution of property

 

The type of donation records which may include a donation receipt letter will depend upon the amount of your contributions and whether they are:

      • Cash contributions
      • Noncash contributions
      • Out-of-pocket expenses when donating your services

Typically, an organization must give you a written statement if you donate more than $75.

Cash contributions

Cash contributions are those paid by:

      • Check
      • Electronic funds transfer
      • Debit or credit card
      • Payroll deduction

If you make a cash contribution, you must have one of these:

      • A bank record that shows:
        • Name of the qualified organization
        • Date of the contribution
        • Amount of the contribution
      • A receipt or letter from the qualified organization showing:
        • Name of the organization
        • Date of the contribution
        • Amount of the contribution
      • Payroll deduction records — These can include a pay stub, your W-2, or another document from your employer.

Noncash contributions

To qualify for a Goodwill donations tax deduction of noncash contributions or noncash contributions made to other charitable organizations The records you must keep depend on:

      • The type of contribution
      • The amount of your contribution

To deduct a noncash contribution in any amount, you’ll need to get and keep a receipt, letter, or other communication from the charitable organization showing:

      • The name of the qualified organization
      • The date and location of the charitable contribution
      • A reasonably detailed description of the property

You must also keep reliable written records that include:

      • The name and address of the organization to which you contributed
      • The date and location of the contribution
      • A description of the property in detail reasonable under the circumstances
      • The fair market value (FMV) of the property at the time of the contribution and how you determined the FMV. If it was determined by appraisal, you should also keep a copy of the signed appraisal.
      • The cost or other basis of the property
      • The terms of any conditions attached to the contribution of property

Related Topics

Related Resources

Deductions For Business Travel Expenses

Do you know which business travel expenses are eligible for deductions? Learn more about how to deduct travel expenses and get tax answers at H&R Bloc

I have a question about deducting medical expenses for pets. Can I deduct medical expenses for my pets if I itemize my t

Discover if you can deduct medical expenses for your pets with guidance from the tax experts at H&R Block.

I had a balance due for my federal and state 2016 taxes. I paid both balances in 2017. Can I clai

If you had a balance due for your federal and state taxes last year, can you deduct what you had to pay on this years taxes? Learn more from the tax e

I would like to learn more about the mortgage insurance deduction. Is there a mortgage insurance premiums deduction I w

Learn if your entire mortgage insurance premium is tax deductible from the tax experts at H&R Block.