As you tidy up your home and office, more than likely you will find items that are no longer of good use or “spark joy” for you. You’ve probably donated piles of clothes, books, or useless knick-knacks and appliances throughout the years. Often, most of those items’ value doesn’t even add up enough to qualify for a charitable donation deduction – or perhaps we’re just too lazy to add up the value of all those shoes and shirts.
1. Cars, boats, and airplanes (If you’re on this level, more power to you!).
2. Taxidermy property, which the IRS defines as “any work of art that is the reproduction or preservation of an animal, in whole or in part.” (very interesting!)
3. Patents and other intellectual property, including copyrights and trademarks.
4. Shares of stocks held in your investment account. (Yes! You can donate the shares instead of cash.)
Keep in mind that the IRS requires you to obtain a receipt from the qualified organization with a description of the property donated for any contribution above $250. Keep these receipts in a safe place so you don’t find yourself scrambling to collect them once it’s time to file.
The Bottom Line:
You may be too lazy to add up all the small goods you donate to charities like Goodwill because they don’t even amount enough to take a tax deduction. However, if you are donating larger ticket items such as stocks, cars, intellectual property, and taxidermy property, then it may be worth your while to keep a record of that donated property as it could be a considerable charitable tax deduction.