What Are Qualified Charitable Contributions? Limits, QCDs, and Records

Qualified charitable contributions are gifts of money or property made to organizations the IRS recognizes as tax-exempt, and they can reduce your taxable income if the recipient, the amount, and your paperwork all meet the rules. Itemizers claim the deduction on Schedule A of Form 1040. Starting with tax year 2026, taxpayers who take the standard deduction can also deduct up to $1,000 in cash gifts ($2,000 for married couples filing jointly).¹

Which Organizations Count

The recipient has to hold tax-exempt status under Section 501(c)(3) of the Internal Revenue Code, which covers religious, charitable, educational, scientific, and literary organizations, among others.² Government entities and certain veterans’ organizations qualify as well. Contributions to political campaigns, lobbying groups, and most foreign charities do not.

Qualified organizations fall into two categories that matter for your deduction limits. Public charities, such as churches, hospitals, and universities, draw broad support from the general public or government. Private foundations are usually funded by a single family or corporation and face tighter caps on how much of your income you can deduct in a year.

You can verify an organization before you give using the IRS Tax Exempt Organization Search tool, which draws on Publication 78 data.³ Churches, synagogues, mosques, and similar houses of worship are automatically eligible even if they don’t appear there.

The 2026 Deduction for Non-Itemizers

For tax year 2026, taxpayers who take the standard deduction can still deduct a limited amount of charitable giving: up to $1,000 for single filers and $2,000 for married couples filing jointly.¹ This is the first time since 2021 that non-itemizers have had access to any charitable deduction.

Only cash gifts count. That means checks, credit card charges, and electronic transfers; donations of clothing, household goods, or other property do not qualify for this deduction. Gifts to donor-advised funds, private grant-making foundations, and supporting organizations are also excluded. The written acknowledgment rule for gifts of $250 or more still applies, so hold on to receipts.

How Much You Can Deduct If You Itemize

For itemizers, cash donations to public charities are generally deductible up to 60% of adjusted gross income.⁴ Cash to private foundations is capped lower, at 30% of AGI. Anything you can’t use in the current year isn’t lost; the excess carries forward for up to five tax years.⁵

Itemizing is only worth it when your total itemized deductions exceed the standard deduction. For 2026, the standard deduction is $16,100 for single filers and $32,200 for married couples filing jointly.⁶ If your charitable gifts, mortgage interest, state and local taxes, and other itemized deductions don’t clear that bar, take the standard deduction and use the new non-itemizer deduction instead.

Donating Property Instead of Cash

Property gifts are treated differently from cash, and the deduction depends on what kind of asset it is and how long you’ve owned it.

For long-term capital gain property, meaning assets held more than one year, the deduction equals the fair market value on the date of the gift. You also avoid capital gains tax on the appreciation, which is why donating appreciated stock is popular with higher-income taxpayers. The AGI cap on these gifts is tighter than for cash: 30% of AGI for appreciated property given to a public charity, 20% for a private foundation.⁵ Any excess carries forward for up to five years.

Property held for one year or less, sometimes called ordinary income property, is different. Your deduction is limited to cost basis or fair market value, whichever is lower. The same rule applies to inventory and other property that would produce ordinary income if sold.

The Related-Use Rule

If you donate tangible personal property such as artwork, collectibles, or equipment, the charity must use the item in a way that relates to its tax-exempt mission for you to claim full fair market value. A painting donated to a museum that displays it qualifies. The same painting donated to a hospital that auctions it at a fundraiser does not, and your deduction drops to cost basis.

The Appraisal Exception for Publicly Traded Securities

Most non-cash gifts worth more than $5,000 require a qualified appraisal. Publicly traded securities are exempt from that requirement even when their value exceeds $5,000, because daily market quotations establish the value. They’re reported on Section A of Form 8283.⁷

Qualified Charitable Distributions from IRAs

If you’re at least 70½, you can transfer money directly from a traditional IRA to a qualified charity without counting the transfer as taxable income. This is a qualified charitable distribution, or QCD. The 2026 cap is $111,000 per person, or $222,000 for a married couple where both spouses have IRAs, and the limit is adjusted annually for inflation.⁸⁹

The money has to move directly from the IRA custodian to the charity. If the funds pass through your hands first, the transfer doesn’t qualify.¹⁰ Distributions from SEP IRAs, SIMPLE IRAs, or employer plans like 401(k)s don’t qualify. QCDs also cannot be directed to donor-advised funds, supporting organizations, or private non-operating foundations.⁹

The value of a QCD is that it counts toward your required minimum distribution while staying out of your taxable income. That can lower Medicare premiums, reduce the taxable portion of Social Security benefits, and keep you under other income-based thresholds. It’s especially useful for retirees who don’t itemize, since the non-itemizer charitable deduction is much smaller than what a QCD can shelter.

Volunteer Expenses You Can Deduct

The value of your time is not deductible. Unreimbursed out-of-pocket costs you incur while volunteering for a qualified charity are, and they go on Schedule A as a charitable contribution.¹¹

Driving for a charity is deductible at 14 cents per mile in 2026, plus parking and tolls. The rate is set by statute and doesn’t move with the business mileage rate. You can deduct actual fuel costs instead of using the per-mile rate.¹²
Airfare, lodging, and meals for overnight travel required by the volunteer work are deductible only if the trip has no significant personal vacation element and you serve a full workday.
Uniforms the organization requires you to buy are deductible if they aren’t suitable for everyday use. Regular clothing never is.
Supplies you buy and give to the charity are deductible at cost. If you lend equipment, the fair market value of its use isn’t deductible, but fuel to operate it is.

General car expenses like depreciation, maintenance, and registration are not deductible, and neither is childcare, even if you needed a sitter in order to volunteer.

Records You Need to Keep

The IRS denies deductions that lack the right documentation. The requirements step up with the size of the gift.

Any Cash Gift

Every cash contribution needs a bank record or written receipt showing the charity’s name, the date, and the amount. A canceled check, bank statement, or credit card statement is enough.¹³

Gifts of $250 or More

Any single contribution of $250 or more requires a written acknowledgment from the charity, obtained before you file your return. The acknowledgment must state the amount of cash or describe the property, and it must say whether the charity provided goods or services in return, with a good-faith estimate of their value if so.⁵ A generic thank-you letter doesn’t qualify. The charity isn’t required to send this on its own, so you have to ask.

Quid Pro Quo Gifts Over $75

When you pay more than $75 and receive something back, such as a dinner, tickets, or merchandise, the charity must give you a written disclosure that only the amount above the value of what you received is deductible.¹⁴ Pay $200 for a gala dinner worth $80 and you can deduct $120. Keep the disclosure with your records.

Non-Cash Gifts Over $500 and Over $5,000

Non-cash donations above $500 require Form 8283 with your return. Gifts above $5,000 require a qualified appraisal from an independent appraiser, conducted no earlier than 60 days before the donation date.⁷ Both the appraiser and the receiving charity must sign Form 8283. You must receive the appraisal before your filing deadline, including extensions, for the return on which you first claim the deduction.

Penalties for Overstating the Value

Claiming a deduction larger than it should be triggers accuracy-related penalties on top of the additional tax owed. The IRS applies a 20% penalty when the value you claimed is 150% or more of the correct value, and 40% when it’s 200% or more.¹⁵ The penalty applies to the underpayment caused by the misstatement, not the donation itself. Inflated appraisals are the most common trigger, which is why the qualified appraisal signature requirement on high-value gifts matters as much as it does.

1
Internal Revenue Service. Topic No. 506, Charitable Contributions
2
Internal Revenue Service. Exempt Purposes – Internal Revenue Code Section 501(c)(3)
3
Internal Revenue Service. Tax Exempt Organization Search
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Internal Revenue Service. Charitable Contribution Deductions
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Office of the Law Revision Counsel. 26 USC 170 – Charitable, Etc., Contributions and Gifts
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Internal Revenue Service. IRS Releases Tax Inflation Adjustments for Tax Year 2026
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Internal Revenue Service. Instructions for Form 8283
8
Congressional Research Service. Qualified Charitable Distributions From Individual Retirement Accounts
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Office of the Law Revision Counsel. 26 USC 408 – Individual Retirement Accounts
10
Internal Revenue Service. Seniors Can Reduce Their Tax Burden by Donating to Charity Through Their IRA
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Internal Revenue Service. Providing Disaster Relief Through Charitable Organizations – Working With Volunteers
12
Internal Revenue Service. IRS Sets 2026 Business Standard Mileage Rate at 72.5 Cents Per Mile
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Internal Revenue Service. Charitable Organizations – Substantiation and Disclosure Requirements
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Internal Revenue Service. Charitable Contributions – Quid Pro Quo Contributions
15
Office of the Law Revision Counsel. 26 USC 6662 – Imposition of Accuracy-Related Penalty