File your Taxes for Free!
  • Get your maximum refund*
  • 100% accurate calculations guaranteed*

TurboTax Federal Free Edition - File Taxes Online

Don't let filing your taxes get you down! We'll help make it as easy as possible. With e-file and direct deposit, there's no faster way to get your refund!

Approved TurboTax Affiliate Site. TurboTax and TurboTax Online, among others, are registered trademarks and/or service marks of Intuit Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.


© 2012 - 2018 All rights reserved.

This is an Approved TurboTax Affiliate site. TurboTax and TurboTax Online, among other are registered trademarks and/or service marks of Intuit, Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.
When discussing "Free e-file", note that state e-file is an additional fee. E-file fees do not apply to New York state returns. Prices are subject to change without notice. E-file and get your refund faster
*If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
*Maximum Refund Guarantee - or Your Money Back: If you get a larger refund or smaller tax due from another tax preparation method, we'll refund the applicable TurboTax federal and/or state purchase price paid. TurboTax Federal Free Edition customers are entitled to payment of $14.99 and a refund of your state purchase price paid. Claims must be submitted within sixty (60) days of your TurboTax filing date and no later than 6/15/14. E-file, Audit Defense, Professional Review, Refund Transfer and technical support fees are excluded. This guarantee cannot be combined with the TurboTax Satisfaction (Easy) Guarantee. *We're so confident your return will be done right, we guarantee it. Accurate calculations guaranteed. If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
https://turbotax.intuit.com/corp/guarantees.jsp

Free 1040ez 2014

1040nr Form 2012It 1040xFile 2007 Taxes2006 Utah State Tax ReturnFiling 2010 TaxesState Tax File For FreeFiling 2009 TaxesBack Tax ReliefWww.myfreetaxes.comHow Do I File 2012 TaxesFree State E File Tax ReturnHow To Do An Amendment On My Tax ReturnState Income TaxesOnline 1040ez FormFree File TaxesHow To File Just State TaxesFile My Taxes For 20121040 Ez Tax Form 20111040 EasyHow To Fill Out 1040x Step By Step2009 TaxesAmending Irs ReturnMilitary Tax FilingAmended Tax Forms2010 Amended Tax ReturnFree State ReturnsTax SlayerTax Form For StudentsTax Form 1040a2010 Form 1040aIrs Gov 2011 Tax FormsTax DeadlinePast Year TaxH&r Block Advantage E File1040ez 2012 Tax FormInstructions For 1040x1040nr Online Filing FreeFederal Tax Income ReturnPast Years TaxesFile Income Taxes Online

Free 1040ez 2014

Free 1040ez 2014 6. Free 1040ez 2014   Dual-Status Tax Year Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Tax Year Income Subject to Tax Restrictions for Dual-Status Taxpayers Exemptions How To Figure TaxIncome Tax Credits and Payments Forms To File When and Where To File Introduction You have a dual-status tax year when you have been both a resident alien and a nonresident alien in the same year. Free 1040ez 2014 Dual status does not refer to your citizenship; it refers only to your resident status in the United States. Free 1040ez 2014 In determining your U. Free 1040ez 2014 S. Free 1040ez 2014 income tax liability for a dual-status tax year, different rules apply for the part of the year you are a resident of the United States and the part of the year you are a nonresident. Free 1040ez 2014 The most common dual-status tax years are the years of arrival and departure. Free 1040ez 2014 See Dual-Status Aliens in chapter 1. Free 1040ez 2014 If you are married and choose to be treated as a U. Free 1040ez 2014 S. Free 1040ez 2014 resident for the entire year, as explained in chapter 1, the rules of this chapter do not apply to you for that year. Free 1040ez 2014 Topics - This chapter discusses: Income subject to tax, Restrictions for dual-status taxpayers, Exemptions, How to figure the tax, Forms to file, When and where to file, and How to fill out a dual-status return. Free 1040ez 2014 Useful Items - You may want to see: Publication 503 Child and Dependent Care Expenses 514 Foreign Tax Credit for Individuals 575 Pension and Annuity Income Form (and Instructions) 1040 U. Free 1040ez 2014 S. Free 1040ez 2014 Individual Income Tax Return 1040-C U. Free 1040ez 2014 S. Free 1040ez 2014 Departing Alien Income Tax Return 1040-ES Estimated Tax for Individuals 1040-ES (NR) U. Free 1040ez 2014 S. Free 1040ez 2014 Estimated Tax for Nonresident Alien Individuals 1040NR U. Free 1040ez 2014 S. Free 1040ez 2014 Nonresident Alien Income Tax Return 1116 Foreign Tax Credit See chapter 12 for information about getting these publications and forms. Free 1040ez 2014 Tax Year You must file your tax return on the basis of an annual accounting period called a tax year. Free 1040ez 2014 If you have not previously established a fiscal tax year, your tax year is the calendar year. Free 1040ez 2014 A calendar year is 12 consecutive months ending on December 31. Free 1040ez 2014 If you have previously established a regular fiscal year (12 consecutive months ending on the last day of a month other than December, or a 52–53 week year) and are considered to be a U. Free 1040ez 2014 S. Free 1040ez 2014 resident for any calendar year, you will be treated as a U. Free 1040ez 2014 S. Free 1040ez 2014 resident for any part of your fiscal year that falls within that calendar year. Free 1040ez 2014 Income Subject to Tax For the part of the year you are a resident alien, you are taxed on income from all sources. Free 1040ez 2014 Income from sources outside the United States is taxable if you receive it while you are a resident alien. Free 1040ez 2014 The income is taxable even if you earned it while you were a nonresident alien or if you became a nonresident alien after receiving it and before the end of the year. Free 1040ez 2014 For the part of the year you are a nonresident alien, you are taxed on income from U. Free 1040ez 2014 S. Free 1040ez 2014 sources and on certain foreign source income treated as effectively connected with a U. Free 1040ez 2014 S. Free 1040ez 2014 trade or business. Free 1040ez 2014 (The rules for treating foreign source income as effectively connected are discussed in chapter 4 under Foreign Income. Free 1040ez 2014 ) Income from sources outside the United States that is not effectively connected with a trade or business in the United States is not taxable if you receive it while you are a nonresident alien. Free 1040ez 2014 The income is not taxable even if you earned it while you were a resident alien or if you became a resident alien or a U. Free 1040ez 2014 S. Free 1040ez 2014 citizen after receiving it and before the end of the year. Free 1040ez 2014 Income from U. Free 1040ez 2014 S. Free 1040ez 2014 sources is taxable whether you receive it while a nonresident alien or a resident alien unless specifically exempt under the Internal Revenue Code or a tax treaty provision. Free 1040ez 2014 Generally, tax treaty provisions apply only to the part of the year you were a nonresident. Free 1040ez 2014 In certain cases, however, treaty provisions may apply while you were a resident alien. Free 1040ez 2014 See chapter 9 for more information. Free 1040ez 2014 When determining what income is taxed in the United States, you must consider exemptions under U. Free 1040ez 2014 S. Free 1040ez 2014 tax law as well as the reduced tax rates and exemptions provided by tax treaties between the United States and certain foreign countries. Free 1040ez 2014 For a further discussion of tax treaties, see chapter 9. Free 1040ez 2014 Restrictions for Dual-Status Taxpayers The following restrictions apply if you are filing a tax return for a dual-status tax year. Free 1040ez 2014 1) Standard deduction. Free 1040ez 2014   You cannot use the standard deduction allowed on Form 1040. Free 1040ez 2014 However, you can itemize any allowable deductions. Free 1040ez 2014 2) Exemptions. Free 1040ez 2014   Your total deduction for the exemptions for your spouse and allowable dependents cannot be more than your taxable income (figured without deducting personal exemptions) for the period you are a resident alien. Free 1040ez 2014 3) Head of household. Free 1040ez 2014   You cannot use the head of household Tax Table column or Tax Computation Worksheet. Free 1040ez 2014 4) Joint return. Free 1040ez 2014   You cannot file a joint return. Free 1040ez 2014 However, see Choosing Resident Alien Status under Dual-Status Aliens in chapter 1. Free 1040ez 2014 5) Tax rates. Free 1040ez 2014   If you are married and a nonresident of the United States for all or part of the tax year and you do not choose to file jointly as discussed in chapter 1, you must use the Tax Table column or Tax Computation Worksheet for married filing separately to figure your tax on income effectively connected with a U. Free 1040ez 2014 S. Free 1040ez 2014 trade or business. Free 1040ez 2014 You cannot use the Tax Table column or Tax Computation Worksheet for married filing jointly or single. Free 1040ez 2014 However, you may be able to file as single if you lived apart from your spouse during the last 6 months of the year and you are a: Married resident of Canada, Mexico, or South Korea, or Married U. Free 1040ez 2014 S. Free 1040ez 2014 national. Free 1040ez 2014  See the instructions for Form 1040NR to see if you qualify. Free 1040ez 2014    A U. Free 1040ez 2014 S. Free 1040ez 2014 national is an individual who, although not a U. Free 1040ez 2014 S. Free 1040ez 2014 citizen, owes his or her allegiance to the United States. Free 1040ez 2014 U. Free 1040ez 2014 S. Free 1040ez 2014 nationals include American Samoans and Northern Mariana Islanders who chose to become U. Free 1040ez 2014 S. Free 1040ez 2014 nationals instead of U. Free 1040ez 2014 S. Free 1040ez 2014 citizens. Free 1040ez 2014 6) Tax credits. Free 1040ez 2014   You cannot claim the education credits, the earned income credit, or the credit for the elderly or the disabled unless: You are married, and You choose to be treated as a resident for all of 2013 by filing a joint return with your spouse who is a U. Free 1040ez 2014 S. Free 1040ez 2014 citizen or resident, as discussed in chapter 1. Free 1040ez 2014 Exemptions As a dual-status taxpayer, you usually will be able to claim your own personal exemption. Free 1040ez 2014 Subject to the general rules for qualification, you can claim exemptions for your spouse and dependents when you figure taxable income for the part of the year you are a resident alien. Free 1040ez 2014 The amount you can claim for these exemptions is limited to your taxable income (figured before subtracting exemptions) for the part of the year you are a resident alien. Free 1040ez 2014 You cannot use exemptions (other than your own) to reduce taxable income to less than zero for that period. Free 1040ez 2014 Special rules apply to exemptions for the part of the tax year you are a nonresident alien if you are a: Resident of Canada, Mexico, or South Korea, U. Free 1040ez 2014 S. Free 1040ez 2014 national, or Student or business apprentice from India. Free 1040ez 2014 For more information, see Exemptions in chapter 5. Free 1040ez 2014 How To Figure Tax When you figure your U. Free 1040ez 2014 S. Free 1040ez 2014 tax for a dual-status year, you are subject to different rules for the part of the year you are a resident and the part of the year you are a nonresident. Free 1040ez 2014 Income All income for your period of residence and all income that is effectively connected with a trade or business in the United States for your period of nonresidence, after allowable deductions, is added and taxed at the rates that apply to U. Free 1040ez 2014 S. Free 1040ez 2014 citizens and residents. Free 1040ez 2014 Income that is not connected with a trade or business in the United States for your period of nonresidence is subject to the flat 30% rate or lower treaty rate. Free 1040ez 2014 You cannot take any deductions against this income. Free 1040ez 2014 Social security and railroad retirement benefits. Free 1040ez 2014   During the part of the year you are a nonresident alien, 85% of any U. Free 1040ez 2014 S. Free 1040ez 2014 social security benefits (and the equivalent portion of tier 1 railroad retirement benefits) you receive is subject to the flat 30% tax, unless exempt, or subject to a lower treaty rate. Free 1040ez 2014 (See The 30% Tax in chapter 4. Free 1040ez 2014 )   During the part of the year you are a resident alien, part of the social security and the equivalent portion of tier 1 railroad retirement benefits will be taxed at graduated rates if your modified adjusted gross income plus half of these benefits is more than a certain base amount. Free 1040ez 2014 Use the Social Security Benefits Worksheet in the Form 1040 instructions to help you figure the taxable part of your social security and equivalent tier 1 railroad retirement benefits for the part of the year you were a resident alien. Free 1040ez 2014 If you received U. Free 1040ez 2014 S. Free 1040ez 2014 social security benefits while you were a nonresident alien, the Social Security Administration will send you Form SSA-1042S showing your combined benefits for the entire year and the amount of tax withheld. Free 1040ez 2014 You will not receive separate statements for the benefits received during your periods of U. Free 1040ez 2014 S. Free 1040ez 2014 residence and nonresidence. Free 1040ez 2014 Therefore, it is important for you to keep careful records of these amounts. Free 1040ez 2014 You will need this information to properly complete your return and determine your tax liability. Free 1040ez 2014 If you received railroad retirement benefits while you were a nonresident alien, the U. Free 1040ez 2014 S. Free 1040ez 2014 Railroad Retirement Board (RRB) will send you Form RRB-1042S, Statement for Nonresident Alien Recipients of Payments by the Railroad Retirement Board, and/or Form RRB-1099-R, Annuities or Pensions by the Railroad Retirement Board. Free 1040ez 2014 If your country of legal residence changed or your rate of tax changed during the tax year, you may receive more than one form. Free 1040ez 2014 Tax Credits and Payments This discussion covers tax credits and payments for dual-status aliens. Free 1040ez 2014 Credits As a dual-status alien, you generally can claim tax credits using the same rules that apply to resident aliens. Free 1040ez 2014 There are certain restrictions that may apply. Free 1040ez 2014 These restrictions are discussed here, along with a brief explanation of credits often claimed by individuals. Free 1040ez 2014 Foreign tax credit. Free 1040ez 2014   If you have paid or are liable for the payment of income tax to a foreign country on income from foreign sources, you may be able to claim a credit for the foreign taxes. Free 1040ez 2014   If you claim the foreign tax credit, you generally must file Form 1116 with your income tax return. Free 1040ez 2014 For more information, see the Instructions for Form 1116 and Publication 514. Free 1040ez 2014 Child and dependent care credit. Free 1040ez 2014   You may qualify for this credit if you pay someone to care for your qualifying child who is under age 13, or your disabled dependent or disabled spouse so that you can work or look for work. Free 1040ez 2014 Generally, you must be able to claim an exemption for your dependent. Free 1040ez 2014   Married dual-status aliens can claim the credit only if they choose to file a joint return as discussed in chapter 1, or if they qualify as certain married individuals living apart. Free 1040ez 2014   The amount of your child and dependent care expense that qualifies for the credit in any tax year cannot be more than your earned income for that tax year. Free 1040ez 2014   For more information, get Publication 503 and Form 2441. Free 1040ez 2014 Retirement savings contributions credit. Free 1040ez 2014   You may qualify for this credit (also known as the saver's credit) if you made eligible contributions to an employer-sponsored retirement plan or to an individual retirement arrangement (IRA) in 2013. Free 1040ez 2014 You cannot claim this credit if: You were born after January 1, 1996, You were a full-time student, Your exemption is claimed by someone else on his or her 2013 tax return, or Your adjusted gross income is more than $29,500. Free 1040ez 2014 Use Form 8880 to figure the credit. Free 1040ez 2014 For more information, see Publication 590. Free 1040ez 2014 Child tax credit. Free 1040ez 2014   You may be able to take this credit if you have a qualifying child. Free 1040ez 2014   A qualifying child for purposes of the child tax credit is a child who: Was under age 17 at the end of 2013. Free 1040ez 2014 Is your son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half brother, half sister, or a descendant of any of them (for example, your grandchild, niece, or nephew). Free 1040ez 2014 Is a U. Free 1040ez 2014 S. Free 1040ez 2014 citizen, a U. Free 1040ez 2014 S. Free 1040ez 2014 national, or a resident alien. Free 1040ez 2014 Did not provide over half of his or her own support for 2013. Free 1040ez 2014 Lived with you more than half of 2013. Free 1040ez 2014 Temporary absences, such as for school, vacation, or medical care, count as time lived in the home. Free 1040ez 2014 Is claimed as a dependent on your return. Free 1040ez 2014 An adopted child is always treated as your own child. Free 1040ez 2014 An adopted child includes a child lawfully placed with you for legal adoption. Free 1040ez 2014   See your form instructions for additional details. Free 1040ez 2014 Adoption credit. Free 1040ez 2014   You may qualify to take a tax credit of up to $12,970 for qualifying expenses paid to adopt an eligible child. Free 1040ez 2014 This amount may be allowed for the adoption of a child with special needs regardless of whether you have qualifying expenses. Free 1040ez 2014 To claim the adoption credit, file Form 8839 with the U. Free 1040ez 2014 S. Free 1040ez 2014 income tax return that you file. Free 1040ez 2014   Married dual-status aliens can claim the credit only if they choose to file a joint return with a U. Free 1040ez 2014 S. Free 1040ez 2014 citizen or resident spouse as discussed in chapter 1, or if they qualify as certain married individuals living apart (see Married Persons Not Filing Jointly in the Form 8839 instructions). Free 1040ez 2014 Payments You can report as payments against your U. Free 1040ez 2014 S. Free 1040ez 2014 income tax liability certain taxes you paid, are considered to have paid, or that were withheld from your income. Free 1040ez 2014 These include: Tax withheld from wages earned in the United States, Taxes withheld at the source from various items of income from U. Free 1040ez 2014 S. Free 1040ez 2014 sources other than wages, Estimated tax paid with Form 1040-ES or Form 1040-ES (NR), and Tax paid with Form 1040-C, at the time of departure from the United States. Free 1040ez 2014 Forms To File The U. Free 1040ez 2014 S. Free 1040ez 2014 income tax return you must file as a dual-status alien depends on whether you are a resident alien or a nonresident alien at the end of the tax year. Free 1040ez 2014 Resident at end of year. Free 1040ez 2014   You must file Form 1040 if you are a dual-status taxpayer who becomes a resident during the year and who is a U. Free 1040ez 2014 S. Free 1040ez 2014 resident on the last day of the tax year. Free 1040ez 2014 Write “Dual-Status Return” across the top of the return. Free 1040ez 2014 Attach a statement to your return to show the income for the part of the year you are a nonresident. Free 1040ez 2014 You can use Form 1040NR or Form 1040NR-EZ as the statement, but be sure to mark “Dual-Status Statement” across the top. Free 1040ez 2014 Nonresident at end of year. Free 1040ez 2014   You must file Form 1040NR or Form 1040NR-EZ if you are a dual-status taxpayer who gives up residence in the United States during the year and who is not a U. Free 1040ez 2014 S. Free 1040ez 2014 resident on the last day of the tax year. Free 1040ez 2014 Write “Dual-Status Return” across the top of the return. Free 1040ez 2014 Attach a statement to your return to show the income for the part of the year you are a resident. Free 1040ez 2014 You can use Form 1040 as the statement, but be sure to mark “Dual-Status Statement” across the top. Free 1040ez 2014   If you expatriated or terminated your residency in 2013, you may be required to file an expatriation statement (Form 8854) with your tax return. Free 1040ez 2014 For more information, see Expatriation Tax in chapter 4. Free 1040ez 2014 Statement. Free 1040ez 2014   Any statement must have your name, address, and taxpayer identification number on it. Free 1040ez 2014 You do not need to sign a separate statement or schedule accompanying your return, because your signature on the return also applies to the supporting statements and schedules. Free 1040ez 2014 When and Where To File If you are a resident alien on the last day of your tax year and report your income on a calendar year basis, you must file no later than April 15 of the year following the close of your tax year. Free 1040ez 2014 If you report your income on other than a calendar year basis, file your return no later than the 15th day of the 4th month following the close of your tax year. Free 1040ez 2014 In either case, file your return with the address for dual-status aliens shown on the back page of the Form 1040 instructions. Free 1040ez 2014 If you are a nonresident alien on the last day of your tax year and you report your income on a calendar year basis, you must file no later than April 15 of the year following the close of your tax year if you receive wages subject to withholding. Free 1040ez 2014 If you report your income on other than a calendar year basis, file your return no later than the 15th day of the 4th month following the close of your tax year. Free 1040ez 2014 If you did not receive wages subject to withholding and you report your income on a calendar year basis, you must file no later than June 15 of the year following the close of your tax year. Free 1040ez 2014 If you report your income on other than a calendar year basis, file your return no later than the 15th day of the 6th month following the close of your tax year. Free 1040ez 2014 In any case, mail your return to:  Department of the Treasury Internal Revenue Service  Austin, TX 73301-0215 If enclosing a payment, mail your return to:  Internal Revenue Service  P. Free 1040ez 2014 O. Free 1040ez 2014 Box 1303 Charlotte, NC 28201-1303 If the regular due date for filing falls on a Saturday, Sunday, or legal holiday, the due date is the next day that is not a Saturday, Sunday, or legal holiday. Free 1040ez 2014 Prev  Up  Next   Home   More Online Publications
Print - Click this link to Print this page

TEB Voluntary Compliance

Tax Exempt Bonds (TEB) focuses on providing participants in the municipal bond industry with quality service to assist issuers and conduit borrowers in understanding their tax responsibilities. As part of that service, TEB is providing the following general information for issuers of tax-exempt, tax credit, and direct pay bonds (tax-advantaged bonds) with respect to their post-issuance compliance responsibilities as well as voluntary compliance programs including remedial actions provided under the Income Tax Regulations and the TEB Voluntary Closing Agreement Program (TEB VCAP).

The educational resources provided below are intended to help issuers and other parties locate information and authoritative sources relating to voluntary compliance. The web-based information is not intended to be cited as an authoritative source. TEB recommends that issuers of tax-advantaged bonds review the authoritative sources referenced throughout these educational resources in consultation with their counsel.

  • Section 1 - Post-Issuance Compliance
    This article provides general information on the post-issuance compliance responsibilities of issuers of tax-advantaged bonds. The on-going nature of post-issuance compliance responsibilities requires issuers to be diligent in identifying and resolving noncompliance, on a timely basis, to preserve the preferential status of tax-advantaged bonds.

  • Section 2 - TEB Self-Correction
    This article provides general information on the availability of remedial action provisions under the Income Tax Regulations that issuers of tax-exempt bonds can use to resolve tax violations without the involvement of TEB.

  • Section 3 – TEB Private Letter Rulings
    This article provides an overview description of private letter rulings, including important distinctions between private letter rulings and closing agreements related to tax-advantaged bonds. Revenue Procedure 2011-1 provides formal guidance on the process for requesting private letter rulings.

  • Section 4 - TEB VCAP Administrative Procedures
    TEB administers TEB VCAP to assist issuers in conclusively resolving violations of the federal tax laws applicable to their tax-advantaged bonds in accordance with Notice 2008-31.

  • Section 5 - TEB VCAP Resolution Standards
    TEB VCAP incorporates resolution standards in order to promote due diligence on the part of issuers and other parties to bond transactions in resolving violations of applicable federal tax laws by increasing the transparency of resolution methodologies and providing an economic incentive for issuers to timely identify violations and submit TEB VCAP requests.

  • Section 6 – Feedback on TEB Voluntary Compliance
    TEB invites issuers and other participants in the municipal bond industry to submit questions, comments and suggestions concerning its voluntary compliance programs. Please click here to send an email to TEB and include “TEB Voluntary Compliance” in the subject line of the email.
Page Last Reviewed or Updated: 04-Sep-2013

The Free 1040ez 2014

Free 1040ez 2014 Publication 526 - Main Content Table of Contents Organizations That Qualify To Receive Deductible ContributionsTypes of Qualified Organizations Contributions You Can DeductContributions From Which You Benefit Expenses Paid for Student Living With You Out-of-Pocket Expenses in Giving Services Expenses of Whaling Captains Contributions You Cannot DeductContributions to Individuals Contributions to Nonqualified Organizations Contributions From Which You Benefit Value of Time or Services Personal Expenses Appraisal Fees Contributions to Donor-Advised Funds Partial Interest in Property Contributions of PropertyContributions Subject to Special Rules Determining Fair Market Value Giving Property That Has Decreased in Value Giving Property That Has Increased in Value Penalty When To DeductChecks. Free 1040ez 2014 Text message. Free 1040ez 2014 Credit card. Free 1040ez 2014 Pay-by-phone account. Free 1040ez 2014 Stock certificate. Free 1040ez 2014 Promissory note. Free 1040ez 2014 Option. Free 1040ez 2014 Borrowed funds. Free 1040ez 2014 Conditional gift. Free 1040ez 2014 Limits on Deductions50% Limit 30% Limit Special 30% Limit for Capital Gain Property 20% Limit Special 50% Limit for Qualified Conservation Contributions How To Figure Your Deduction When Limits Apply Records To KeepCash Contributions Noncash Contributions Out-of-Pocket Expenses How To ReportReporting expenses for student living with you. Free 1040ez 2014 Total deduction over $500. Free 1040ez 2014 Deduction over $5,000 for one item. Free 1040ez 2014 Vehicle donations. Free 1040ez 2014 Clothing and household items not in good used condition. Free 1040ez 2014 Easement on building in historic district. Free 1040ez 2014 Deduction over $500,000. Free 1040ez 2014 How To Get Tax HelpLow Income Taxpayer Clinics Organizations That Qualify To Receive Deductible Contributions You can deduct your contributions only if you make them to a qualified organization. Free 1040ez 2014 Most organizations, other than churches and governments, must apply to the IRS to become a qualified organization. Free 1040ez 2014 How to check whether an organization can receive deductible charitable contributions. Free 1040ez 2014   You can ask any organization whether it is a qualified organization, and most will be able to tell you. Free 1040ez 2014 Or go to IRS. Free 1040ez 2014 gov. Free 1040ez 2014 Click on “Tools” and then on “Exempt Organizations Select Check” (www. Free 1040ez 2014 irs. Free 1040ez 2014 gov/Charities-&-Non-Profits/Exempt-Organizations-Select-Check). Free 1040ez 2014 This online tool will enable you to search for qualified organizations. Free 1040ez 2014 You can also call the IRS to find out if an organization is qualified. Free 1040ez 2014 Call 1-877-829-5500. Free 1040ez 2014 People who are deaf, hard of hearing, or have a speech disability and who have access to TTY/TDD equipment can call 1-800-829-4059. Free 1040ez 2014 Deaf or hard of hearing individuals can also contact the IRS through relay services such as the Federal Relay Service at www. Free 1040ez 2014 gsa. Free 1040ez 2014 gov/fedrelay. Free 1040ez 2014 Types of Qualified Organizations Generally, only the following types of organizations can be qualified organizations. Free 1040ez 2014 A community chest, corporation, trust, fund, or foundation organized or created in or under the laws of the United States, any state, the District of Columbia, or any possession of the United States (including Puerto Rico). Free 1040ez 2014 It must, however, be organized and operated only for charitable, religious, scientific, literary, or educational purposes, or for the prevention of cruelty to children or animals. Free 1040ez 2014 Certain organizations that foster national or international amateur sports competition also qualify. Free 1040ez 2014 War veterans' organizations, including posts, auxiliaries, trusts, or foundations, organized in the United States or any of its possessions (including Puerto Rico). Free 1040ez 2014 Domestic fraternal societies, orders, and associations operating under the lodge system. Free 1040ez 2014 (Your contribution to this type of organization is deductible only if it is to be used solely for charitable, religious, scientific, literary, or educational purposes, or for the prevention of cruelty to children or animals. Free 1040ez 2014 ) Certain nonprofit cemetery companies or corporations. Free 1040ez 2014 (Your contribution to this type of organization is not deductible if it can be used for the care of a specific lot or mausoleum crypt. Free 1040ez 2014 ) The United States or any state, the District of Columbia, a U. Free 1040ez 2014 S. Free 1040ez 2014 possession (including Puerto Rico), a political subdivision of a state or U. Free 1040ez 2014 S. Free 1040ez 2014 possession, or an Indian tribal government or any of its subdivisions that perform substantial government functions. Free 1040ez 2014 (Your contribution to this type of organization is deductible only if it is to be used solely for public purposes. Free 1040ez 2014 ) Example 1. Free 1040ez 2014 You contribute cash to your city's police department to be used as a reward for information about a crime. Free 1040ez 2014 The city police department is a qualified organization, and your contribution is for a public purpose. Free 1040ez 2014 You can deduct your contribution. Free 1040ez 2014 Example 2. Free 1040ez 2014 You make a voluntary contribution to the social security trust fund, not earmarked for a specific account. Free 1040ez 2014 Because the trust fund is part of the U. Free 1040ez 2014 S. Free 1040ez 2014 Government, you contributed to a qualified organization. Free 1040ez 2014 You can deduct your contribution. Free 1040ez 2014 Examples. Free 1040ez 2014   The following list gives some examples of qualified organizations. Free 1040ez 2014 Churches, a convention or association of churches, temples, synagogues, mosques, and other religious organizations. Free 1040ez 2014 Most nonprofit charitable organizations such as the American Red Cross and the United Way. Free 1040ez 2014 Most nonprofit educational organizations, including the Boy Scouts of America, Girl Scouts of America, colleges, and museums. Free 1040ez 2014 This also includes nonprofit daycare centers that provide childcare to the general public if substantially all the childcare is provided to enable parents and guardians to be gainfully employed. Free 1040ez 2014 However, if your contribution is a substitute for tuition or other enrollment fee, it is not deductible as a charitable contribution, as explained later under Contributions You Cannot Deduct . Free 1040ez 2014 Nonprofit hospitals and medical research organizations. Free 1040ez 2014 Utility company emergency energy programs, if the utility company is an agent for a charitable organization that assists individuals with emergency energy needs. Free 1040ez 2014 Nonprofit volunteer fire companies. Free 1040ez 2014 Nonprofit organizations that develop and maintain public parks and recreation facilities. Free 1040ez 2014 Civil defense organizations. Free 1040ez 2014 Canadian charities. Free 1040ez 2014   You may be able to deduct contributions to certain Canadian charitable organizations covered under an income tax treaty with Canada. Free 1040ez 2014 To deduct your contribution to a Canadian charity, you generally must have income from sources in Canada. Free 1040ez 2014 See Publication 597, Information on the United States-Canada Income Tax Treaty, for information on how to figure your deduction. Free 1040ez 2014 Mexican charities. Free 1040ez 2014   Under the U. Free 1040ez 2014 S. Free 1040ez 2014 -Mexico income tax treaty, a contribution to a Mexican charitable organization may be deductible, but only if and to the extent the contribution would have been treated as a charitable contribution to a public charity created or organized under U. Free 1040ez 2014 S. Free 1040ez 2014 law. Free 1040ez 2014 To deduct your contribution to a Mexican charity, you must have income from sources in Mexico. Free 1040ez 2014 The limits described in Limits on Deductions , later, apply and are figured using your income from Mexican sources. Free 1040ez 2014 Israeli charities. Free 1040ez 2014   Under the U. Free 1040ez 2014 S. Free 1040ez 2014 -Israel income tax treaty, a contribution to an Israeli charitable organization is deductible if and to the extent the contribution would have been treated as a charitable contribution if the organization had been created or organized under U. Free 1040ez 2014 S. Free 1040ez 2014 law. Free 1040ez 2014 To deduct your contribution to an Israeli charity, you must have income from sources in Israel. Free 1040ez 2014 The limits described in Limits on Deductions , later, apply. Free 1040ez 2014 The deduction is also limited to 25% of your adjusted gross income from Israeli sources. Free 1040ez 2014 Contributions You Can Deduct Generally, you can deduct contributions of money or property you make to, or for the use of, a qualified organization. Free 1040ez 2014 A contribution is “for the use of” a qualified organization when it is held in a legally enforceable trust for the qualified organization or in a similar legal arrangement. Free 1040ez 2014 The contributions must be made to a qualified organization and not set aside for use by a specific person. Free 1040ez 2014 If you give property to a qualified organization, you generally can deduct the fair market value of the property at the time of the contribution. Free 1040ez 2014 See Contributions of Property , later. Free 1040ez 2014 Your deduction for charitable contributions generally cannot be more than 50% of your adjusted gross income (AGI), but in some cases 20% and 30% limits may apply. Free 1040ez 2014 In addition, the total of your charitable contributions deduction and certain other itemized deductions may be limited. Free 1040ez 2014 See Limits on Deductions , later. Free 1040ez 2014 Table 1 in this publication gives examples of contributions you can and cannot deduct. Free 1040ez 2014 Contributions From Which You Benefit If you receive a benefit as a result of making a contribution to a qualified organization, you can deduct only the amount of your contribution that is more than the value of the benefit you receive. Free 1040ez 2014 Also see Contributions From Which You Benefit under Contributions You Cannot Deduct, later. Free 1040ez 2014 If you pay more than fair market value to a qualified organization for goods or services, the excess may be a charitable contribution. Free 1040ez 2014 For the excess amount to qualify, you must pay it with the intent to make a charitable contribution. Free 1040ez 2014 Example 1. Free 1040ez 2014 You pay $65 for a ticket to a dinner-dance at a church. Free 1040ez 2014 Your entire $65 payment goes to the church. Free 1040ez 2014 The ticket to the dinner-dance has a fair market value of $25. Free 1040ez 2014 When you buy your ticket, you know its value is less than your payment. Free 1040ez 2014 To figure the amount of your charitable contribution, subtract the value of the benefit you receive ($25) from your total payment ($65). Free 1040ez 2014 You can deduct $40 as a charitable contribution to the church. Free 1040ez 2014 Example 2. Free 1040ez 2014 At a fundraising auction conducted by a charity, you pay $600 for a week's stay at a beach house. Free 1040ez 2014 The amount you pay is no more than the fair rental value. Free 1040ez 2014 You have not made a deductible charitable contribution. Free 1040ez 2014 Athletic events. Free 1040ez 2014   If you make a payment to, or for the benefit of, a college or university and, as a result, you receive the right to buy tickets to an athletic event in the athletic stadium of the college or university, you can deduct 80% of the payment as a charitable contribution. Free 1040ez 2014   If any part of your payment is for tickets (rather than the right to buy tickets), that part is not deductible. Free 1040ez 2014 Subtract the price of the tickets from your payment. Free 1040ez 2014 You can deduct 80% of the remaining amount as a charitable contribution. Free 1040ez 2014 Example 1. Free 1040ez 2014 You pay $300 a year for membership in a university's athletic scholarship program. Free 1040ez 2014 The only benefit of membership is that you have the right to buy one season ticket for a seat in a designated area of the stadium at the university's home football games. Free 1040ez 2014 You can deduct $240 (80% of $300) as a charitable contribution. Free 1040ez 2014 Example 2. Free 1040ez 2014 The facts are the same as in Example 1 except your $300 payment includes the purchase of one season ticket for the stated ticket price of $120. Free 1040ez 2014 You must subtract the usual price of a ticket ($120) from your $300 payment. Free 1040ez 2014 The result is $180. Free 1040ez 2014 Your deductible charitable contribution is $144 (80% of $180). Free 1040ez 2014 Charity benefit events. Free 1040ez 2014   If you pay a qualified organization more than fair market value for the right to attend a charity ball, banquet, show, sporting event, or other benefit event, you can deduct only the amount that is more than the value of the privileges or other benefits you receive. Free 1040ez 2014   If there is an established charge for the event, that charge is the value of your benefit. Free 1040ez 2014 If there is no established charge, the reasonable value of the right to attend the event is the value of your benefit. Free 1040ez 2014 Whether you use the tickets or other privileges has no effect on the amount you can deduct. Free 1040ez 2014 However, if you return the ticket to the qualified organization for resale, you can deduct the entire amount you paid for the ticket. Free 1040ez 2014    Even if the ticket or other evidence of payment indicates that the payment is a “contribution,” this does not mean you can deduct the entire amount. Free 1040ez 2014 If the ticket shows the price of admission and the amount of the contribution, you can deduct the contribution amount. Free 1040ez 2014 Example. Free 1040ez 2014 You pay $40 to see a special showing of a movie for the benefit of a qualified organization. Free 1040ez 2014 Printed on the ticket is “Contribution–$40. Free 1040ez 2014 ” If the regular price for the movie is $8, your contribution is $32 ($40 payment − $8 regular price). Free 1040ez 2014 Membership fees or dues. Free 1040ez 2014   You may be able to deduct membership fees or dues you pay to a qualified organization. Free 1040ez 2014 However, you can deduct only the amount that is more than the value of the benefits you receive. Free 1040ez 2014   You cannot deduct dues, fees, or assessments paid to country clubs and other social organizations. Free 1040ez 2014 They are not qualified organizations. Free 1040ez 2014 Certain membership benefits can be disregarded. Free 1040ez 2014   Both you and the organization can disregard the following membership benefits if you get them in return for an annual payment of $75 or less. Free 1040ez 2014 Any rights or privileges, other than those discussed under Athletic events , earlier, that you can use frequently while you are a member, such as: Free or discounted admission to the organization's facilities or events, Free or discounted parking, Preferred access to goods or services, and Discounts on the purchase of goods and services. Free 1040ez 2014 Admission, while you are a member, to events open only to members of the organization if the organization reasonably projects that the cost per person (excluding any allocated overhead) is not more than $10. Free 1040ez 2014 20. Free 1040ez 2014 Token items. Free 1040ez 2014   You do not have to reduce your contribution by the value of any benefit you receive if both of the following are true. Free 1040ez 2014 You receive only a small item or other benefit of token value. Free 1040ez 2014 The qualified organization correctly determines that the value of the item or benefit you received is not substantial and informs you that you can deduct your payment in full. Free 1040ez 2014 The organization determines whether the value of an item or benefit is substantial by using Revenue Procedures 90-12 and 92-49 and the inflation adjustment in Revenue Procedure 2012–41. Free 1040ez 2014 Written statement. Free 1040ez 2014   A qualified organization must give you a written statement if you make a payment of more than $75 that is partly a contribution and partly for goods or services. Free 1040ez 2014 The statement must say you can deduct only the amount of your payment that is more than the value of the goods or services you received. Free 1040ez 2014 It must also give you a good faith estimate of the value of those goods or services. Free 1040ez 2014   The organization can give you the statement either when it solicits or when it receives the payment from you. Free 1040ez 2014 Exception. Free 1040ez 2014   An organization will not have to give you this statement if one of the following is true. Free 1040ez 2014 The organization is: A governmental organization described in (5) under Types of Qualified Organizations , earlier, or An organization formed only for religious purposes, and the only benefit you receive is an intangible religious benefit (such as admission to a religious ceremony) that generally is not sold in commercial transactions outside the donative context. Free 1040ez 2014 You receive only items whose value is not substantial as described under Token items , earlier. Free 1040ez 2014 You receive only membership benefits that can be disregarded, as described under Membership fees or dues , earlier. Free 1040ez 2014 Expenses Paid for Student Living With You You may be able to deduct some expenses of having a student live with you. Free 1040ez 2014 You can deduct qualifying expenses for a foreign or American student who: Lives in your home under a written agreement between you and a qualified organization (defined later) as part of a program of the organization to provide educational opportunities for the student, Is not your relative (defined later) or dependent (also defined later), and Is a full-time student in the twelfth or any lower grade at a school in the United States. Free 1040ez 2014 You can deduct up to $50 a month for each full calendar month the student lives with you. Free 1040ez 2014 Any month when conditions (1) through (3) above are met for 15 or more days counts as a full month. Free 1040ez 2014 Qualified organization. Free 1040ez 2014   For these purposes, a qualified organization can be any of the organizations described earlier under Types of Qualified Organizations , except those in (4) and (5). Free 1040ez 2014 For example, if you are providing a home for a student as part of a state or local government program, you cannot deduct your expenses as charitable contributions. Free 1040ez 2014 But see Foster parents under Out-of-Pocket Expenses in Giving Services, later, if you provide the home as a foster parent. Free 1040ez 2014 Relative. Free 1040ez 2014   The term “relative” means any of the following persons. Free 1040ez 2014 Your child, stepchild, foster child, or a descendant of any of them (for example, your grandchild). Free 1040ez 2014 A legally adopted child is considered your child. Free 1040ez 2014 Your brother, sister, half brother, half sister, stepbrother, or stepsister. Free 1040ez 2014 Your father, mother, grandparent, or other direct ancestor. Free 1040ez 2014 Your stepfather or stepmother. Free 1040ez 2014 A son or daughter of your brother or sister. Free 1040ez 2014 A brother or sister of your father or mother. Free 1040ez 2014 Your son-in-law, daughter-in-law, father-in-law, mother-in-law, brother-in-law, or sister-in-law. Free 1040ez 2014 Dependent. Free 1040ez 2014   For this purpose, the term “dependent” means: A person you can claim as a dependent, or A person you could have claimed as a dependent except that: He or she received gross income of $3,900 or more, He or she filed a joint return, or You, or your spouse if filing jointly, could be claimed as a dependent on someone else's 2013 return. Free 1040ez 2014    Foreign students brought to this country under a qualified international education exchange program and placed in American homes for a temporary period generally are not U. Free 1040ez 2014 S. Free 1040ez 2014 residents and cannot be claimed as dependents. Free 1040ez 2014 Qualifying expenses. Free 1040ez 2014   You may be able to deduct the cost of books, tuition, food, clothing, transportation, medical and dental care, entertainment, and other amounts you actually spend for the well-being of the student. Free 1040ez 2014 Expenses that do not qualify. Free 1040ez 2014   You cannot deduct depreciation on your home, the fair market value of lodging, and similar items not considered amounts actually spent by you. Free 1040ez 2014 Nor can you deduct general household expenses, such as taxes, insurance, and repairs. Free 1040ez 2014 Reimbursed expenses. Free 1040ez 2014   In most cases, you cannot claim a charitable contribution deduction if you are compensated or reimbursed for any part of the costs of having a student live with you. Free 1040ez 2014 However, you may be able to claim a charitable contribution deduction for the unreimbursed portion of your expenses if you are reimbursed only for an extraordinary or one-time item, such as a hospital bill or vacation trip, you paid in advance at the request of the student's parents or the sponsoring organization. Free 1040ez 2014 Mutual exchange program. Free 1040ez 2014   You cannot deduct the costs of a foreign student living in your home under a mutual exchange program through which your child will live with a family in a foreign country. Free 1040ez 2014 Reporting expenses. Free 1040ez 2014   For a list of what you must file with your return if you deduct expenses for a student living with you, see Reporting expenses for student living with you under How To Report, later. Free 1040ez 2014 Out-of-Pocket Expenses in Giving Services Table 2. Free 1040ez 2014 Volunteers' Questions and Answers If you volunteer for a qualified organization, the following questions and answers may apply to you. Free 1040ez 2014 All of the rules explained in this publication also apply. Free 1040ez 2014 See, in particular, Out-of-Pocket Expenses in Giving Services . Free 1040ez 2014 Question Answer I volunteer 6 hours a week in the office of a qualified organization. Free 1040ez 2014 The receptionist is paid $10 an hour for the same work. Free 1040ez 2014 Can I deduct $60 a week for my time? No, you cannot deduct the value of your time or services. Free 1040ez 2014  The office is 30 miles from my home. Free 1040ez 2014 Can I deduct any of my car expenses for these trips? Yes, you can deduct the costs of gas and oil that are directly related to getting to and from the place where you volunteer. Free 1040ez 2014 If you do not want to figure your actual costs, you can deduct 14 cents for each mile. Free 1040ez 2014 I volunteer as a Red Cross nurse's aide at a hospital. Free 1040ez 2014 Can I deduct the cost of the uniforms I must wear? Yes, you can deduct the cost of buying and cleaning your uniforms if the hospital is a qualified organization, the uniforms are not suitable for everyday use, and you must wear them when volunteering. Free 1040ez 2014 I pay a babysitter to watch my children while I volunteer for a qualified organization. Free 1040ez 2014 Can I deduct these costs? No, you cannot deduct payments for childcare expenses as a charitable contribution, even if you would be unable to volunteer without childcare. Free 1040ez 2014 (If you have childcare expenses so you can work for pay, see Publication 503, Child and Dependent Care Expenses. Free 1040ez 2014 ) Although you cannot deduct the value of your services given to a qualified organization, you may be able to deduct some amounts you pay in giving services to a qualified organization. Free 1040ez 2014 The amounts must be: Unreimbursed, Directly connected with the services, Expenses you had only because of the services you gave, and Not personal, living, or family expenses. Free 1040ez 2014 Table 2 contains questions and answers that apply to some individuals who volunteer their services. Free 1040ez 2014 Underprivileged youths selected by charity. Free 1040ez 2014   You can deduct reasonable unreimbursed out-of-pocket expenses you pay to allow underprivileged youths to attend athletic events, movies, or dinners. Free 1040ez 2014 The youths must be selected by a charitable organization whose goal is to reduce juvenile delinquency. Free 1040ez 2014 Your own similar expenses in accompanying the youths are not deductible. Free 1040ez 2014 Conventions. Free 1040ez 2014   If a qualified organization selects you to attend a convention as its representative, you can deduct your unreimbursed expenses for travel, including reasonable amounts for meals and lodging, while away from home overnight for the convention. Free 1040ez 2014 However, see Travel , later. Free 1040ez 2014   You cannot deduct personal expenses for sightseeing, fishing parties, theater tickets, or nightclubs. Free 1040ez 2014 You also cannot deduct travel, meals and lodging, and other expenses for your spouse or children. Free 1040ez 2014   You cannot deduct your travel expenses in attending a church convention if you go only as a member of your church rather than as a chosen representative. Free 1040ez 2014 You can, however, deduct unreimbursed expenses that are directly connected with giving services for your church during the convention. Free 1040ez 2014 Uniforms. Free 1040ez 2014   You can deduct the cost and upkeep of uniforms that are not suitable for everyday use and that you must wear while performing donated services for a charitable organization. Free 1040ez 2014 Foster parents. Free 1040ez 2014   You may be able to deduct as a charitable contribution some of the costs of being a foster parent (foster care provider) if you have no profit motive in providing the foster care and are not, in fact, making a profit. Free 1040ez 2014 A qualified organization must select the individuals you take into your home for foster care. Free 1040ez 2014   You can deduct expenses that meet both of the following requirements. Free 1040ez 2014 They are unreimbursed out-of-pocket expenses to feed, clothe, and care for the foster child. Free 1040ez 2014 They are incurred primarily to benefit the qualified organization. Free 1040ez 2014   Unreimbursed expenses that you cannot deduct as charitable contributions may be considered support provided by you in determining whether you can claim the foster child as a dependent. Free 1040ez 2014 For details, see Publication 501, Exemptions, Standard Deduction, and Filing Information. Free 1040ez 2014 Example. Free 1040ez 2014 You cared for a foster child because you wanted to adopt her, not to benefit the agency that placed her in your home. Free 1040ez 2014 Your unreimbursed expenses are not deductible as charitable contributions. Free 1040ez 2014 Church deacon. Free 1040ez 2014   You can deduct as a charitable contribution any unreimbursed expenses you have while in a permanent diaconate program established by your church. Free 1040ez 2014 These expenses include the cost of vestments, books, and transportation required in order to serve in the program as either a deacon candidate or an ordained deacon. Free 1040ez 2014 Car expenses. Free 1040ez 2014   You can deduct as a charitable contribution any unreimbursed out-of-pocket expenses, such as the cost of gas and oil, directly related to the use of your car in giving services to a charitable organization. Free 1040ez 2014 You cannot deduct general repair and maintenance expenses, depreciation, registration fees, or the costs of tires or insurance. Free 1040ez 2014   If you do not want to deduct your actual expenses, you can use a standard mileage rate of 14 cents a mile to figure your contribution. Free 1040ez 2014   You can deduct parking fees and tolls whether you use your actual expenses or the standard mileage rate. Free 1040ez 2014   You must keep reliable written records of your car expenses. Free 1040ez 2014 For more information, see Car expenses under Records To Keep, later. Free 1040ez 2014 Travel. Free 1040ez 2014   Generally, you can claim a charitable contribution deduction for travel expenses necessarily incurred while you are away from home performing services for a charitable organization only if there is no significant element of personal pleasure, recreation, or vacation in the travel. Free 1040ez 2014 This applies whether you pay the expenses directly or indirectly. Free 1040ez 2014 You are paying the expenses indirectly if you make a payment to the charitable organization and the organization pays for your travel expenses. Free 1040ez 2014   The deduction for travel expenses will not be denied simply because you enjoy providing services to the charitable organization. Free 1040ez 2014 Even if you enjoy the trip, you can take a charitable contribution deduction for your travel expenses if you are on duty in a genuine and substantial sense throughout the trip. Free 1040ez 2014 However, if you have only nominal duties, or if for significant parts of the trip you do not have any duties, you cannot deduct your travel expenses. Free 1040ez 2014 Example 1. Free 1040ez 2014 You are a troop leader for a tax-exempt youth group and you take the group on a camping trip. Free 1040ez 2014 You are responsible for overseeing the setup of the camp and for providing adult supervision for other activities during the entire trip. Free 1040ez 2014 You participate in the activities of the group and enjoy your time with them. Free 1040ez 2014 You oversee the breaking of camp and you transport the group home. Free 1040ez 2014 You can deduct your travel expenses. Free 1040ez 2014 Example 2. Free 1040ez 2014 You sail from one island to another and spend 8 hours a day counting whales and other forms of marine life. Free 1040ez 2014 The project is sponsored by a charitable organization. Free 1040ez 2014 In most circumstances, you cannot deduct your expenses. Free 1040ez 2014 Example 3. Free 1040ez 2014 You work for several hours each morning on an archeological dig sponsored by a charitable organization. Free 1040ez 2014 The rest of the day is free for recreation and sightseeing. Free 1040ez 2014 You cannot take a charitable contribution deduction even though you work very hard during those few hours. Free 1040ez 2014 Example 4. Free 1040ez 2014 You spend the entire day attending a charitable organization's regional meeting as a chosen representative. Free 1040ez 2014 In the evening you go to the theater. Free 1040ez 2014 You can claim your travel expenses as charitable contributions, but you cannot claim the cost of your evening at the theater. Free 1040ez 2014 Daily allowance (per diem). Free 1040ez 2014   If you provide services for a charitable organization and receive a daily allowance to cover reasonable travel expenses, including meals and lodging while away from home overnight, you must include in income any part of the allowance that is more than your deductible travel expenses. Free 1040ez 2014 You may be able to deduct any necessary travel expenses that are more than the allowance. Free 1040ez 2014 Deductible travel expenses. Free 1040ez 2014   These include: Air, rail, and bus transportation, Out-of-pocket expenses for your car, Taxi fares or other costs of transportation between the airport or station and your hotel, Lodging costs, and The cost of meals. Free 1040ez 2014 Because these travel expenses are not business-related, they are not subject to the same limits as business related expenses. Free 1040ez 2014 For information on business travel expenses, see Travel in Publication 463, Travel, Entertainment, Gift, and Car Expenses. Free 1040ez 2014 Expenses of Whaling Captains You may be able to deduct as a charitable contribution any reasonable and necessary whaling expenses you pay during the year to carry out sanctioned whaling activities. Free 1040ez 2014 The deduction is limited to $10,000 a year. Free 1040ez 2014 To claim the deduction, you must be recognized by the Alaska Eskimo Whaling Commission as a whaling captain charged with the responsibility of maintaining and carrying out sanctioned whaling activities. Free 1040ez 2014 Sanctioned whaling activities are subsistence bowhead whale hunting activities conducted under the management plan of the Alaska Eskimo Whaling Commission. Free 1040ez 2014 Whaling expenses include expenses for: Acquiring and maintaining whaling boats, weapons, and gear used in sanctioned whaling activities, Supplying food for the crew and other provisions for carrying out these activities, and Storing and distributing the catch from these activities. Free 1040ez 2014 You must keep records showing the time, place, date, amount, and nature of the expenses. Free 1040ez 2014 For details, see Revenue Procedure 2006-50, which is on page 944 of Internal Revenue Bulletin 2006-47 at www. Free 1040ez 2014 irs. Free 1040ez 2014 gov/pub/irs-irbs/irb06-47. Free 1040ez 2014 pdf. Free 1040ez 2014 Contributions You Cannot Deduct There are some contributions you cannot deduct and others you can deduct only in part. Free 1040ez 2014 You cannot deduct as a charitable contribution: A contribution to a specific individual, A contribution to a nonqualified organization, The part of a contribution from which you receive or expect to receive a benefit, The value of your time or services, Your personal expenses, A qualified charitable distribution from an individual retirement arrangement (IRA), Appraisal fees, Certain contributions to donor-advised funds, or Certain contributions of partial interests in property. Free 1040ez 2014 Detailed discussions of these items follow. Free 1040ez 2014 Contributions to Individuals You cannot deduct contributions to specific individuals, including the following. Free 1040ez 2014 Contributions to fraternal societies made for the purpose of paying medical or burial expenses of members. Free 1040ez 2014 Contributions to individuals who are needy or worthy. Free 1040ez 2014 You cannot deduct these contributions even if you make them to a qualified organization for the benefit of a specific person. Free 1040ez 2014 But you can deduct a contribution to a qualified organization that helps needy or worthy individuals if you do not indicate that your contribution is for a specific person. Free 1040ez 2014 Example. Free 1040ez 2014 You can deduct contributions to a qualified organization for flood relief, hurricane relief, or other disaster relief. Free 1040ez 2014 However, you cannot deduct contributions earmarked for relief of a particular individual or family. Free 1040ez 2014 Payments to a member of the clergy that can be spent as he or she wishes, such as for personal expenses. Free 1040ez 2014 Expenses you paid for another person who provided services to a qualified organization. Free 1040ez 2014 Example. Free 1040ez 2014 Your son does missionary work. Free 1040ez 2014 You pay his expenses. Free 1040ez 2014 You cannot claim a deduction for your son's unreimbursed expenses related to his contribution of services. Free 1040ez 2014 Payments to a hospital that are for a specific patient's care or for services for a specific patient. Free 1040ez 2014 You cannot deduct these payments even if the hospital is operated by a city, state, or other qualified organization. Free 1040ez 2014 Contributions to Nonqualified Organizations You cannot deduct contributions to organizations that are not qualified to receive tax-deductible contributions, including the following. Free 1040ez 2014 Certain state bar associations if: The bar is not a political subdivision of a state, The bar has private, as well as public, purposes, such as promoting the professional interests of members, and Your contribution is unrestricted and can be used for private purposes. Free 1040ez 2014 Chambers of commerce and other business leagues or organizations. Free 1040ez 2014 Civic leagues and associations. Free 1040ez 2014 Communist organizations. Free 1040ez 2014 Country clubs and other social clubs. Free 1040ez 2014 Foreign organizations other than certain Canadian, Israeli, or Mexican charitable organizations. Free 1040ez 2014 (See Canadian charities , Mexican charities , and Israeli charities under Organizations That Qualify To Receive Deductible Contributions, earlier. Free 1040ez 2014 ) Also, you cannot deduct a contribution you made to any qualifying organization if the contribution is earmarked to go to a foreign organization. Free 1040ez 2014 However, certain contributions to a qualified organization for use in a program conducted by a foreign charity may be deductible as long as they are not earmarked to go to the foreign charity. Free 1040ez 2014 For the contribution to be deductible, the qualified organization must approve the program as furthering its own exempt purposes and must keep control over the use of the contributed funds. Free 1040ez 2014 The contribution is also deductible if the foreign charity is only an administrative arm of the qualified organization. Free 1040ez 2014 Homeowners' associations. Free 1040ez 2014 Labor unions. Free 1040ez 2014 But you may be able to deduct union dues as a miscellaneous itemized deduction, subject to the 2%-of-adjusted-gross-income limit, on Schedule A (Form 1040). Free 1040ez 2014 See Publication 529, Miscellaneous Deductions. Free 1040ez 2014 Political organizations and candidates. Free 1040ez 2014 Contributions From Which You Benefit If you receive or expect to receive a financial or economic benefit as a result of making a contribution to a qualified organization, you cannot deduct the part of the contribution that represents the value of the benefit you receive. Free 1040ez 2014 See Contributions From Which You Benefit under Contributions You Can Deduct, earlier. Free 1040ez 2014 These contributions include the following. Free 1040ez 2014 Contributions for lobbying. Free 1040ez 2014 This includes amounts you earmark for use in, or in connection with, influencing specific legislation. Free 1040ez 2014 Contributions to a retirement home for room, board, maintenance, or admittance. Free 1040ez 2014 Also, if the amount of your contribution depends on the type or size of apartment you will occupy, it is not a charitable contribution. Free 1040ez 2014 Costs of raffles, bingo, lottery, etc. Free 1040ez 2014 You cannot deduct as a charitable contribution amounts you pay to buy raffle or lottery tickets or to play bingo or other games of chance. Free 1040ez 2014 For information on how to report gambling winnings and losses, see Deductions Not Subject to the 2% Limit in Publication 529. Free 1040ez 2014 Dues to fraternal orders and similar groups. Free 1040ez 2014 However, see Membership fees or dues under Contributions From Which You Benefit, earlier. Free 1040ez 2014 Tuition, or amounts you pay instead of tuition. Free 1040ez 2014 You cannot deduct as a charitable contribution amounts you pay as tuition even if you pay them for children to attend parochial schools or qualifying nonprofit daycare centers. Free 1040ez 2014 You also cannot deduct any fixed amount you must pay in addition to, or instead of, tuition to enroll in a private school, even if it is designated as a “donation. Free 1040ez 2014 ” Contributions connected with split-dollar insurance arrangements. Free 1040ez 2014 You cannot deduct any part of a contribution to a charitable organization if, in connection with the contribution, the organization directly or indirectly pays, has paid, or is expected to pay any premium on any life insurance, annuity, or endowment contract for which you, any member of your family, or any other person chosen by you (other than a qualified charitable organization) is a beneficiary. Free 1040ez 2014 Example. Free 1040ez 2014 You donate money to a charitable organization. Free 1040ez 2014 The charity uses the money to purchase a cash value life insurance policy. Free 1040ez 2014 The beneficiaries under the insurance policy include members of your family. Free 1040ez 2014 Even though the charity may eventually get some benefit out of the insurance policy, you cannot deduct any part of the donation. Free 1040ez 2014 Qualified Charitable Distributions A qualified charitable distribution (QCD) is a distribution made directly by the trustee of your individual retirement arrangement (IRA), other than a SEP or SIMPLE IRA, to certain qualified organizations. Free 1040ez 2014 You must have been at least age 70½ when the distribution was made. Free 1040ez 2014 Your total QCDs for the year cannot be more than $100,000. Free 1040ez 2014 If all the requirements are met, a QCD is nontaxable, but you cannot claim a charitable contribution deduction for a QCD. Free 1040ez 2014 See Publication 590, Individual Retirement Arrangements (IRAs), for more information about QCDs. Free 1040ez 2014 Value of Time or Services You cannot deduct the value of your time or services, including: Blood donations to the American Red Cross or to blood banks, and The value of income lost while you work as an unpaid volunteer for a qualified organization. Free 1040ez 2014 Personal Expenses You cannot deduct personal, living, or family expenses, such as the following items. Free 1040ez 2014 The cost of meals you eat while you perform services for a qualified organization, unless it is necessary for you to be away from home overnight while performing the services. Free 1040ez 2014 Adoption expenses, including fees paid to an adoption agency and the costs of keeping a child in your home before adoption is final. Free 1040ez 2014 However, you may be able to claim a tax credit for these expenses. Free 1040ez 2014 Also, you may be able to exclude from your gross income amounts paid or reimbursed by your employer for your adoption expenses. Free 1040ez 2014 See Form 8839, Qualified Adoption Expenses, and its instructions, for more information. Free 1040ez 2014 You also may be able to claim an exemption for the child. Free 1040ez 2014 See Exemptions for Dependents in Publication 501 for more information. Free 1040ez 2014 Appraisal Fees You cannot deduct as a charitable contribution any fees you pay to find the fair market value of donated property. Free 1040ez 2014 But you can claim them, subject to the 2%-of-adjusted-gross-income limit, as a miscellaneous itemized deduction on Schedule A (Form 1040). Free 1040ez 2014 See Deductions Subject to the 2% Limit in Publication 529 for more information. Free 1040ez 2014 Contributions to Donor-Advised Funds You cannot deduct a contribution to a donor-advised fund if: The qualified organization that sponsors the fund is a war veterans' organization, a fraternal society, or a nonprofit cemetery company, or You do not have an acknowledgment from that sponsoring organization that it has exclusive legal control over the assets contributed. Free 1040ez 2014 There are also other circumstances in which you cannot deduct your contribution to a donor-advised fund. Free 1040ez 2014 Generally, a donor-advised fund is a fund or account in which a donor can, because of being a donor, advise the fund how to distribute or invest amounts held in the fund. Free 1040ez 2014 For details, see Internal Revenue Code section 170(f)(18). Free 1040ez 2014 Partial Interest in Property Generally, you cannot deduct a contribution of less than your entire interest in property. Free 1040ez 2014 For details, see Partial Interest in Property under Contributions of Property, later. Free 1040ez 2014 Contributions of Property If you contribute property to a qualified organization, the amount of your charitable contribution is generally the fair market value of the property at the time of the contribution. Free 1040ez 2014 However, if the property has increased in value, you may have to make some adjustments to the amount of your deduction. Free 1040ez 2014 See Giving Property That Has Increased in Value , later. Free 1040ez 2014 For information about the records you must keep and the information you must furnish with your return if you donate property, see Records To Keep and How To Report , later. Free 1040ez 2014 Contributions Subject to Special Rules Special rules apply if you contribute: Clothing or household items, A car, boat, or airplane, Taxidermy property, Property subject to a debt, A partial interest in property, A fractional interest in tangible personal property, A qualified conservation contribution, A future interest in tangible personal property, Inventory from your business, or A patent or other intellectual property. Free 1040ez 2014 These special rules are described next. Free 1040ez 2014 Clothing and Household Items You cannot take a deduction for clothing or household items you donate unless the clothing or household items are in good used condition or better. Free 1040ez 2014 Exception. Free 1040ez 2014   You can take a deduction for a contribution of an item of clothing or a household item that is not in good used condition or better if you deduct more than $500 for it and include a qualified appraisal of it with your return. Free 1040ez 2014 Household items. Free 1040ez 2014   Household items include: Furniture and furnishings, Electronics, Appliances, Linens, and Other similar items. Free 1040ez 2014   Household items do not include: Food, Paintings, antiques, and other objects of art, Jewelry and gems, and Collections. Free 1040ez 2014 Fair market value. Free 1040ez 2014   To determine the fair market value of these items, use the rules under Determining Fair Market Value , later. Free 1040ez 2014 Cars, Boats, and Airplanes The following rules apply to any donation of a qualified vehicle. Free 1040ez 2014 A qualified vehicle is: A car or any motor vehicle manufactured mainly for use on public streets, roads, and highways, A boat, or An airplane. Free 1040ez 2014 Deduction more than $500. Free 1040ez 2014   If you donate a qualified vehicle with a claimed fair market value of more than $500, you can deduct the smaller of: The gross proceeds from the sale of the vehicle by the organization, or The vehicle's fair market value on the date of the contribution. Free 1040ez 2014 If the vehicle's fair market value was more than your cost or other basis, you may have to reduce the fair market value to figure the deductible amount, as described under Giving Property That Has Increased in Value , later. Free 1040ez 2014 Form 1098-C. Free 1040ez 2014   You must attach to your return Copy B of the Form 1098-C, Contributions of Motor Vehicles, Boats, and Airplanes, (or other statement containing the same information as Form 1098-C) you received from the organization. Free 1040ez 2014 The Form 1098-C (or other statement) will show the gross proceeds from the sale of the vehicle. Free 1040ez 2014   If you e-file your return, you must: Attach Copy B of Form 1098-C to Form 8453, U. Free 1040ez 2014 S. Free 1040ez 2014 Individual Income Tax Transmittal for an IRS e-file Return, and mail the forms to the IRS, or Include Copy B of Form 1098-C as a pdf attachment if your software program allows it. Free 1040ez 2014   If you do not attach Form 1098-C (or other statement), you cannot deduct your contribution. Free 1040ez 2014    You must get Form 1098-C (or other statement) within 30 days of the sale of the vehicle. Free 1040ez 2014 But if exception 1 or 2 (described later) applies, you must get Form 1098-C (or other statement) within 30 days of your donation. Free 1040ez 2014 Filing deadline approaching and still no Form 1098-C. Free 1040ez 2014   If the filing deadline is approaching and you still do not have a Form 1098-C, you have two choices. Free 1040ez 2014 Request an automatic 6-month extension of time to file your return. Free 1040ez 2014 You can get this extension by filing Form 4868, Application for Automatic Extension of Time To File U. Free 1040ez 2014 S. Free 1040ez 2014 Individual Income Tax Return. Free 1040ez 2014 For more information, see the instructions for Form 4868. Free 1040ez 2014 File the return on time without claiming the deduction for the qualified vehicle. Free 1040ez 2014 After receiving the Form 1098-C, file an amended return, Form 1040X, Amended U. Free 1040ez 2014 S. Free 1040ez 2014 Individual Income Tax Return, claiming the deduction. Free 1040ez 2014 Attach Copy B of Form 1098-C (or other statement) to the amended return. Free 1040ez 2014 Exceptions. Free 1040ez 2014   There are two exceptions to the rules just described for deductions of more than $500. Free 1040ez 2014 Exception 1—vehicle used or improved by organization. Free 1040ez 2014   If the qualified organization makes a significant intervening use of or material improvement to the vehicle before transferring it, you generally can deduct the vehicle's fair market value at the time of the contribution. Free 1040ez 2014 But if the vehicle's fair market value was more than your cost or other basis, you may have to reduce the fair market value to get the deductible amount, as described under Giving Property That Has Increased in Value , later. Free 1040ez 2014 The Form 1098-C (or other statement) will show whether this exception applies. Free 1040ez 2014    Exception 2—vehicle given or sold to needy individual. Free 1040ez 2014   If the qualified organization will give the vehicle, or sell it for a price well below fair market value, to a needy individual to further the organization's charitable purpose, you generally can deduct the vehicle's fair market value at the time of the contribution. Free 1040ez 2014 But if the vehicle's fair market value was more than your cost or other basis, you may have to reduce the fair market value to get the deductible amount, as described under Giving Property That Has Increased in Value , later. Free 1040ez 2014 The Form 1098-C (or other statement) will show whether this exception applies. Free 1040ez 2014   This exception does not apply if the organization sells the vehicle at auction. Free 1040ez 2014 In that case, you cannot deduct the vehicle's fair market value. Free 1040ez 2014 Example. Free 1040ez 2014 Anita donates a used car to a qualified organization. Free 1040ez 2014 She bought it 3 years ago for $9,000. Free 1040ez 2014 A used car guide shows the fair market value for this type of car is $6,000. Free 1040ez 2014 However, Anita gets a Form 1098-C from the organization showing the car was sold for $2,900. Free 1040ez 2014 Neither exception 1 nor exception 2 applies. Free 1040ez 2014 If Anita itemizes her deductions, she can deduct $2,900 for her donation. Free 1040ez 2014 She must attach Form 1098-C and Form 8283 to her return. Free 1040ez 2014 Deduction $500 or less. Free 1040ez 2014   If the qualified organization sells the vehicle for $500 or less and exceptions 1 and 2 do not apply, you can deduct the smaller of: $500, or The vehicle's fair market value on the date of the contribution. Free 1040ez 2014 But if the vehicle's fair market value was more than your cost or other basis, you may have to reduce the fair market value to get the deductible amount, as described under Giving Property That Has Increased in Value , later. Free 1040ez 2014   If the vehicle's fair market value is at least $250 but not more than $500, you must have a written statement from the qualified organization acknowledging your donation. Free 1040ez 2014 The statement must contain the information and meet the tests for an acknowledgment described under Contributions of $250 or More under Records To Keep, later. Free 1040ez 2014 Fair market value. Free 1040ez 2014   To determine a vehicle's fair market value, use the rules described under Determining Fair Market Value , later. Free 1040ez 2014 Donations of inventory. Free 1040ez 2014   The vehicle donation rules just described do not apply to donations of inventory. Free 1040ez 2014 For example, these rules do not apply if you are a car dealer who donates a car you had been holding for sale to customers. Free 1040ez 2014 See Inventory , later. Free 1040ez 2014 Taxidermy Property If you donate taxidermy property to a qualified organization, your deduction is limited to your basis in the property or its fair market value, whichever is less. Free 1040ez 2014 This applies if you prepared, stuffed, or mounted the property or paid or incurred the cost of preparing, stuffing, or mounting the property. Free 1040ez 2014 Your basis for this purpose includes only the cost of preparing, stuffing, and mounting the property. Free 1040ez 2014 Your basis does not include transportation or travel costs. Free 1040ez 2014 It also does not include the direct or indirect costs for hunting or killing an animal, such as equipment costs. Free 1040ez 2014 In addition, it does not include the value of your time. Free 1040ez 2014 Taxidermy property means any work of art that: Is the reproduction or preservation of an animal, in whole or in part, Is prepared, stuffed, or mounted to recreate one or more characteristics of the animal, and Contains a part of the body of the dead animal. Free 1040ez 2014 Property Subject to a Debt If you contribute property subject to a debt (such as a mortgage), you must reduce the fair market value of the property by: Any allowable deduction for interest you paid (or will pay) that is attributable to any period after the contribution, and If the property is a bond, the lesser of: Any allowable deduction for interest you paid (or will pay) to buy or carry the bond that is attributable to any period before the contribution, or The interest, including bond discount, receivable on the bond that is attributable to any period before the contribution, and that is not includible in your income due to your accounting method. Free 1040ez 2014 This prevents you from deducting the same amount as both investment interest and a charitable contribution. Free 1040ez 2014 If the recipient (or another person) assumes the debt, you must also reduce the fair market value of the property by the amount of the outstanding debt assumed. Free 1040ez 2014 The amount of the debt is also treated as an amount realized on the sale or exchange of property for purposes of figuring your taxable gain (if any). Free 1040ez 2014 For more information, see Bargain Sales under Giving Property That Has Increased in Value, later. Free 1040ez 2014 Partial Interest in Property Generally, you cannot deduct a charitable contribution of less than your entire interest in property. Free 1040ez 2014 Right to use property. Free 1040ez 2014   A contribution of the right to use property is a contribution of less than your entire interest in that property and is not deductible. Free 1040ez 2014 Example 1. Free 1040ez 2014 You own a 10-story office building and donate rent-free use of the top floor to a charitable organization. Free 1040ez 2014 Because you still own the building, you have contributed a partial interest in the property and cannot take a deduction for the contribution. Free 1040ez 2014 Example 2. Free 1040ez 2014 Mandy White owns a vacation home at the beach that she sometimes rents to others. Free 1040ez 2014 For a fund-raising auction at her church, she donated the right to use the vacation home for 1 week. Free 1040ez 2014 At the auction, the church received and accepted a bid from Lauren Green equal to the fair rental value of the home for 1 week. Free 1040ez 2014 Mandy cannot claim a deduction because of the partial interest rule. Free 1040ez 2014 Lauren cannot claim a deduction either, because she received a benefit equal to the amount of her payment. Free 1040ez 2014 See Contributions From Which You Benefit , earlier. Free 1040ez 2014 Exceptions. Free 1040ez 2014   You can deduct a charitable contribution of a partial interest in property only if that interest represents one of the following items. Free 1040ez 2014 A remainder interest in your personal home or farm. Free 1040ez 2014 A remainder interest is one that passes to a beneficiary after the end of an earlier interest in the property. Free 1040ez 2014 Example. Free 1040ez 2014 You keep the right to live in your home during your lifetime and give your church a remainder interest that begins upon your death. Free 1040ez 2014 You can deduct the value of the remainder interest. Free 1040ez 2014 An undivided part of your entire interest. Free 1040ez 2014 This must consist of a part of every substantial interest or right you own in the property and must last as long as your interest in the property lasts. Free 1040ez 2014 But see Fractional Interest in Tangible Personal Property , later. Free 1040ez 2014 Example. Free 1040ez 2014 You contribute voting stock to a qualified organization but keep the right to vote the stock. Free 1040ez 2014 The right to vote is a substantial right in the stock. Free 1040ez 2014 You have not contributed an undivided part of your entire interest and cannot deduct your contribution. Free 1040ez 2014 A partial interest that would be deductible if transferred to certain types of trusts. Free 1040ez 2014 A qualified conservation contribution (defined later). Free 1040ez 2014 For information about how to figure the value of a contribution of a partial interest in property, see Partial Interest in Property Not in Trust in Publication 561. Free 1040ez 2014 Fractional Interest in Tangible Personal Property You cannot deduct a charitable contribution of a fractional interest in tangible personal property unless all interests in the property are held immediately before the contribution by: You, or You and the qualifying organization receiving the contribution. Free 1040ez 2014 If you make an additional contribution later, the fair market value of that contribution will be determined by using the smaller of: The fair market value of the property at the time of the initial contribution, or The fair market value of the property at the time of the additional contribution. Free 1040ez 2014 Tangible personal property is defined later under Future Interest in Tangible Personal Property . Free 1040ez 2014 A fractional interest in property is an undivided portion of your entire interest in the property. Free 1040ez 2014 Example. Free 1040ez 2014 An undivided one-quarter interest in a painting that entitles an art museum to possession of the painting for 3 months of each year is a fractional interest in the property. Free 1040ez 2014 Recapture of deduction. Free 1040ez 2014   You must recapture your charitable contribution deduction by including it in your income if both of the following statements are true. Free 1040ez 2014 You contributed a fractional interest in tangible personal property after August 17, 2006. Free 1040ez 2014 You do not contribute the rest of your interests in the property to the original recipient or, if it no longer exists, another qualified organization on or before the earlier of: The date that is 10 years after the date of the initial contribution, or The date of your death. Free 1040ez 2014   Recapture is also required if the qualified organization has not taken substantial physical possession of the property and used it in a way related to the organization's purpose during the period beginning on the date of the initial contribution and ending on the earlier of: The date that is 10 years after the date of the initial contribution, or The date of your death. Free 1040ez 2014 Additional tax. Free 1040ez 2014   If you must recapture your deduction, you must also pay interest and an additional tax equal to 10% of the amount recaptured. Free 1040ez 2014 Qualified Conservation Contribution A qualified conservation contribution is a contribution of a qualified real property interest to a qualified organization to be used only for conservation purposes. Free 1040ez 2014 Qualified organization. Free 1040ez 2014   For purposes of a qualified conservation contribution, a qualified organization is: A governmental unit, A publicly supported charity, or An organization controlled by, and operated for the exclusive benefit of, a governmental unit or a publicly supported charity. Free 1040ez 2014 The organization also must have a commitment to protect the conservation purposes of the donation and must have the resources to enforce the restrictions. Free 1040ez 2014   A publicly supported charity is an organization of the type described in (1) under Types of Qualified Organizations , earlier, that normally receives a substantial part of its support, other than income from its exempt activities, from direct or indirect contributions from the general public or from governmental units. Free 1040ez 2014 Qualified real property interest. Free 1040ez 2014   This is any of the following interests in real property. Free 1040ez 2014 Your entire interest in real estate other than a mineral interest (subsurface oil, gas, or other minerals, and the right of access to these minerals). Free 1040ez 2014 A remainder interest. Free 1040ez 2014 A restriction (granted in perpetuity) on the use that may be made of the real property. Free 1040ez 2014 Conservation purposes. Free 1040ez 2014   Your contribution must be made only for one of the following conservation purposes. Free 1040ez 2014 Preserving land areas for outdoor recreation by, or for the education of, the general public. Free 1040ez 2014 Protecting a relatively natural habitat of fish, wildlife, or plants, or a similar ecosystem. Free 1040ez 2014 Preserving open space, including farmland and forest land, if it yields a significant public benefit. Free 1040ez 2014 The open space must be preserved either for the scenic enjoyment of the general public or under a clearly defined federal, state, or local governmental conservation policy. Free 1040ez 2014 Preserving a historically important land area or a certified historic structure. Free 1040ez 2014 Building in registered historic district. Free 1040ez 2014   If a building in a registered historic district is a certified historic structure, a contribution of a qualified real property interest that is an easement or other restriction on the exterior of the building is deductible only if it meets all of the following conditions. Free 1040ez 2014 The restriction must preserve the entire exterior of the building (including its front, sides, rear, and height) and must prohibit any change to the exterior of the building that is inconsistent with its historical character. Free 1040ez 2014 You and the organization receiving the contribution must enter into a written agreement certifying, under penalty of perjury, that the organization: Is a qualified organization with a purpose of environmental protection, land conservation, open space preservation, or historic preservation, and Has the resources to manage and enforce the restriction and a commitment to do so. Free 1040ez 2014 You must include with your return: A qualified appraisal, Photographs of the building's entire exterior, and A description of all restrictions on development of the building, such as zoning laws and restrictive covenants. Free 1040ez 2014   If you claimed the rehabilitation credit for the building for any of the 5 years before the year of the contribution, your charitable deduction is reduced. Free 1040ez 2014 For more information, see Form 3468, Investment Credit, and Internal Revenue Code section 170(f)(14). Free 1040ez 2014   If you claim a deduction of more than $10,000, your deduction will not be allowed unless you pay a $500 filing fee. Free 1040ez 2014 See Form 8283-V, Payment Voucher for Filing Fee Under Section 170(f)(13), and its instructions. Free 1040ez 2014 You may be able to deduct the filing fee as a miscellaneous itemized deduction, subject to the 2%-of-adjusted-gross-income limit, on Schedule A (Form 1040). Free 1040ez 2014 See Deductions Subject to the 2% Limit in Publication 529 for more information. Free 1040ez 2014 More information. Free 1040ez 2014   For information about determining the fair market value of qualified conservation contributions, see Publication 561. Free 1040ez 2014 For information about the limits that apply to deductions for this type of contribution, see Limits on Deductions , later. Free 1040ez 2014 For more information about qualified conservation contributions, see Regulations section 1. Free 1040ez 2014 170A-14. Free 1040ez 2014 Future Interest in Tangible Personal Property You cannot deduct the value of a charitable contribution of a future interest in tangible personal property until all intervening interests in and rights to the actual possession or enjoyment of the property have either expired or been turned over to someone other than yourself, a related person, or a related organization. Free 1040ez 2014 But see Fractional Interest in Tangible Personal Property , earlier, and Tangible personal property put to unrelated use , later. Free 1040ez 2014 Related persons include your spouse, children, grandchildren, brothers, sisters, and parents. Free 1040ez 2014 Related organizations may include a partnership or corporation in which you have an interest, or an estate or trust with which you have a connection. Free 1040ez 2014 Tangible personal property. Free 1040ez 2014   This is any property, other than land or buildings, that can be seen or touched. Free 1040ez 2014 It includes furniture, books, jewelry, paintings, and cars. Free 1040ez 2014 Future interest. Free 1040ez 2014   This is any interest that is to begin at some future time, regardless of whether it is designated as a future interest under state law. Free 1040ez 2014 Example. Free 1040ez 2014 You own an antique car that you contribute to a museum. Free 1040ez 2014 You give up ownership, but retain the right to keep the car in your garage with your personal collection. Free 1040ez 2014 Because you keep an interest in the property, you cannot deduct the contribution. Free 1040ez 2014 If you turn the car over to the museum in a later year, giving up all rights to its use, possession, and enjoyment, you can take a deduction for the contribution in that later year. Free 1040ez 2014 Inventory If you contribute inventory (property you sell in the course of your business), the amount you can deduct is the smaller of its fair market value on the day you contributed it or its basis. Free 1040ez 2014 The basis of contributed inventory is any cost incurred for the inventory in an earlier year that you would otherwise include in your opening inventory for the year of the contribution. Free 1040ez 2014 You must remove the amount of your charitable contribution deduction from your opening inventory. Free 1040ez 2014 It is not part of the cost of goods sold. Free 1040ez 2014 If the cost of donated inventory is not included in your opening inventory, the inventory's basis is zero and you cannot claim a charitable contribution deduction. Free 1040ez 2014 Treat the inventory's cost as you would ordinarily treat it under your method of accounting. Free 1040ez 2014 For example, include the purchase price of inventory bought and donated in the same year in the cost of goods sold for that year. Free 1040ez 2014 A special rule applies to certain donations of food inventory. Free 1040ez 2014 See Food Inventory, later. Free 1040ez 2014 Patents and Other Intellectual Property If you donate intellectual property to a qualified organization, your deduction is limited to the basis of the property or the fair market value of the property, whichever is smaller. Free 1040ez 2014 Intellectual property means any of the following: Patents. Free 1040ez 2014 Copyrights (other than a copyright described in Internal Revenue Code sections 1221(a)(3) or 1231(b)(1)(C)). Free 1040ez 2014 Trademarks. Free 1040ez 2014 Trade names. Free 1040ez 2014 Trade secrets. Free 1040ez 2014 Know-how. Free 1040ez 2014 Software (other than software described in Internal Revenue Code section 197(e)(3)(A)(i)). Free 1040ez 2014 Other similar property or applications or registrations of such property. Free 1040ez 2014 Additional deduction based on income. Free 1040ez 2014   You may be able to claim additional charitable contribution deductions in the year of the contribution and years following, based on the income, if any, from the donated property. Free 1040ez 2014   The following table shows the percentage of income from the property that you can deduct for each of your tax years ending on or after the date of the contribution. Free 1040ez 2014 In the table, “tax year 1,” for example, means your first tax year ending on or after the date of the contribution. Free 1040ez 2014 However, you can take the additional deduction only to the extent the total of the amounts figured using this table is more than the amount of the deduction claimed for the original donation of the property. Free 1040ez 2014   After the legal life of the intellectual property ends, or after the 10th anniversary of the donation, whichever is earlier, no additional deduction is allowed. Free 1040ez 2014 The additional deductions cannot be taken for intellectual property donated to certain private foundations. Free 1040ez 2014 Tax year Deductible percentage 1 100% 2 100% 3 90% 4 80% 5 70% 6 60% 7 50% 8 40% 9 30% 10 20% 11 10% 12 10% Reporting requirements. Free 1040ez 2014   You must inform the organization at the time of the donation that you intend to treat the donation as a contribution subject to the provisions just discussed. Free 1040ez 2014   The organization is required to file an information return showing the income from the property, with a copy to you. Free 1040ez 2014 This is done on Form 8899, Notice of Income From Donated Intellectual Property. Free 1040ez 2014 Determining Fair Market Value This section discusses general guidelines for determining the fair market value of various types of donated property. Free 1040ez 2014 Publication 561 contains a more complete discussion. Free 1040ez 2014 Fair market value is the price at which property would change hands between a willing buyer and a willing seller, neither having to buy or sell, and both having reasonable knowledge of all the relevant facts. Free 1040ez 2014 Used clothing. Free 1040ez 2014   The fair market value of used clothing and other personal items is usually far less than the price you paid for them. Free 1040ez 2014 There are no fixed formulas or methods for finding the value of items of clothing. Free 1040ez 2014   You should claim as the value the price that buyers of used items actually pay in used clothing stores, such as consignment or thrift shops. Free 1040ez 2014      Also see Clothing and Household Items , earlier. Free 1040ez 2014 Example. Free 1040ez 2014    Kristin donated a coat to a thrift store operated by her church. Free 1040ez 2014 She paid $300 for the coat 3 years ago. Free 1040ez 2014 Similar coats in the thrift store sell for $50. Free 1040ez 2014 The fair market value of the coat is $50. Free 1040ez 2014 Kristin's donation is limited to $50. Free 1040ez 2014 Household items. Free 1040ez 2014   The fair market value of used household items, such as furniture, appliances, and linens, is usually much lower than the price paid when new. Free 1040ez 2014 These items may have little or no market value because they are in a worn condition, out of style, or no longer useful. Free 1040ez 2014 For these reasons, formulas (such as using a percentage of the cost to buy a new replacement item) are not acceptable in determining value. Free 1040ez 2014   You should support your valuation with photographs, canceled checks, receipts from your purchase of the items, or other evidence. Free 1040ez 2014 Magazine or newspaper articles and photographs that describe the items and statements by the recipients of the items are also useful. Free 1040ez 2014 Do not include any of this evidence with your tax return. Free 1040ez 2014   If the property is valuable because it is old or unique, see the discussion under Paintings, Antiques, and Other Objects of Art in Publication 561. Free 1040ez 2014   Also see Clothing and Household Items , earlier. Free 1040ez 2014 Cars, boats, and airplanes. Free 1040ez 2014   If you contribute a car, boat, or airplane to a charitable organization, you must determine its fair market value. Free 1040ez 2014 Boats. Free 1040ez 2014   Except for small, inexpensive boats, the valuation of boats should be based on an appraisal by a marine surveyor or appraiser because the physical condition is critical to the value. Free 1040ez 2014 Cars. Free 1040ez 2014   Certain commercial firms and trade organizations publish used car pricing guides, commonly called “blue books,” containing complete dealer sale prices or dealer average prices for recent model years. Free 1040ez 2014 The guides may be published monthly or seasonally, and for different regions of the country. Free 1040ez 2014 These guides also provide estimates for adjusting for unusual equipment, unusual mileage, and physical condition. Free 1040ez 2014 The prices are not “official” and these publications are not considered an appraisal of any specific donated property. Free 1040ez 2014 But they do provide clues for making an appraisal and suggest relative prices for comparison with current sales and offerings in your area. Free 1040ez 2014   These publications are sometimes available from public libraries, or from the loan officer at a bank, credit union, or finance company. Free 1040ez 2014 You can also find used car pricing information on the Internet. Free 1040ez 2014   To find the fair market value of a donated car, use the price listed in a used car guide for a private party sale, not the dealer retail value. Free 1040ez 2014 However, the fair market value may be less if the car has engine trouble, body damage, high mileage, or any type of excessive wear. Free 1040ez 2014 The fair market value of a donated car is the same as the price listed in a used car guide for a private party sale only if the guide lists a sales price for a car that is the same make, model, and year, sold in the same area, in the same condition, with the same or similar options or accessories, and with the same or similar warranties as the donated car. Free 1040ez 2014 Example. Free 1040ez 2014 You donate a used car in poor condition to a local high school for use by students studying car repair. Free 1040ez 2014 A used car guide shows the dealer retail value for this type of car in poor condition is $1,600. Free 1040ez 2014 However, the guide shows the price for a private party sale of the car is only $750. Free 1040ez 2014 The fair market value of the car is considered to be $750. Free 1040ez 2014 Large quantities. Free 1040ez 2014   If you contribute a large number of the same item, fair market value is the price at which comparable numbers of the item are being sold. Free 1040ez 2014 Example. Free 1040ez 2014 You purchase 500 bibles for $1,000. Free 1040ez 2014 The person who sells them to you says the retail value of these bibles is $3,000. Free 1040ez 2014 If you contribute the bibles to a qualified organization, you can claim a deduction only for the price at which similar numbers of the same bible are currently being sold. Free 1040ez 2014 Your charitable contribution is $1,000, unless you can show that similar numbers of that bible wer