One major provision coming out of the passage of the One Big Beautiful Bill Act of 2025 (OBBBA) is changes to the charitable contribution tax deduction. These changes took effect on January 1, 2026, and will most likely result in changes to charitable giving strategies for many individuals including federal employees and retirees. This column discusses the new IRS charitable deduction tax rules.
Non-Itemizer Charitable Contribution Deduction
Starting with the 2026 tax year, those individuals who do not itemize on their federal income tax return (they do not file Schedule A) can deduct up to $1,000 (single filers) or $2,000 (married joint filers) for charitable donations made to qualified charities. This deduction is available only for cash/check charitable donations made during the calendar (tax) year. Any cash/check contributions exceeding the $1,000/$2,000 limit cannot be carried forward to future calendar years.
Source:
https://www.myfederalretirement.com/charitable-deduction-tax-rules/
Liên Minh Bảo Hiến Mỹ Gốc Việt
Vietnamese American Conservative Alliance (VACA)
https://freedom-vaca.org/vaca-blog-tieng-viet-nam/