Giving During COVID-19

COVID-19 LEGISLATION HELPS TO BOOST CHARITABLE GIVING!

The CARES Act legislation, passed in response to the COVID-19 pandemic, contains multiple provisions designed to encourage charitable giving.  THESE CHANGES HELP ALL OF US, NO MATTER HOW SMALL OR LARGE YOUR CHARITABLE GIFTS.

Here’s a summary of changes to help you create or enhance your philanthropy.

CARES Act Impact on Charitable Giving for 2020

• If you do not itemize your deductions, the CARES Act allows you to claim an additional deduction of $300 above your standard Federal itemized deductions for cash gifts to public charities during 2020.
• If you do itemize your taxable deductions, the CARES Act raises the Adjusted Gross Income (AGI) ceiling for cash contributions to public charities from 60% to 100% for 2020 for Federal income tax purposes.
• If you exceed the 2020 AGI limitation, you are now permitted to carry the deduction forward for up to five years, until 2025.
• Under the CARES Act, required minimum distributions (RMD’s) from IRAs and qualified retirement plans for most taxpayers are waived for 2020.   BUT – you may still choose to donate from your IRA by making a Qualified Charitable Distribution (QCD) from your retirement plan, and if you do, you will pay NO INCOME TAX on any gift made directly to charity.
• The limitation for charitable gifts by corporations has been raised from 10% to 25% of Federal taxable income.

Other Philanthropic Strategies During This Time

• If you have a Donor Advised Fund, this is a perfect time to make a gift from your DAF where you have already placed funds with the specific intent of making future charitable contributions.
• If your employer has a Matching Gifts Program, check the guidelines to see if you might double your gift to Hartford Symphony Orchestra and other organizations you support.  Some employers, like Stanley Black & Decker, a generous sponsor of HSO, are doubling their matching dollars for employee giving during this time.
• Now’s the time to think about your family and your legacy.  Many people are reviewing their legacy plans at this time and may take heart in knowing that your future giving will help HSO in meaningful ways, as challenges and opportunities we can’t even imagine today present themselves in the future. Consider including a gift to Hartford Symphony Orchestra in your will, estate plan or by beneficiary designation.  Learn more about our Encore Society or contact Ruth Sovronsky at 860-760-7321 or by email to rsovronsky@hartfordsymphony.org.

For more information on how the CARES Act impacts your giving or to create a legacy gift for Hartford Symphony Orchestra that works the best for you and your family, we recommend that you speak with your legal, financial, and tax advisors.