Claiming Charitable Donations When Filing Your Taxes

One way to get credit when filing your income tax each year is to make donations to charity. You don't need to donate money or valuables in order to do this. Here's how you can claim charitable donations on your taxes no matter how much money you have.

My favorite time of year for "spring cleaning" isn't spring. It's Christmas. Every holiday season, our home gets filled with new things from friends and family. I dislike clutter, so I use this as an excuse (not that you need one) to do my spring cleaning early.

The day after Christmas is Boxing Day. This day has a special meaning for me, not only because it is considered "the day of Goodwill," but because it is the day when I "box up" all of the things that I no longer want or need. I make sure to go through all of my closets and cabinets. Getting rid of these things makes me feel wonderful. It is a huge weight off of my shoulders seeing those boxes of junk ready to go out the door.

Then I take the boxes of things down to Goodwill. Most of the time, they will even come to your house and pick it up if you call. Ask them for a receipt so that you can claim the donation on your taxes. You won't get money back for the items, but if you owe taxes, it will be deducted from what you owe.

I like to always turn my donations in a soon as possible. If you can get them in before the start of the New Year, you can claim them when you file your previous year's taxes. Otherwise, you have to wait another year. You do not have to do this only once a year, of course. You can donate as many times as you like throughout the year.

If you are too busy during the holidays to go through everything you own looking for things to give away, try this idea. Keep a box in your closet or garage specifically for items you want to donate. Whenever you come across something in your home that you would like to give away, toss it into the box. Donate the items whenever the box gets full and save all of your receipts in your tax folder.

Sometimes some families like hoarding their stuff, but there are a few tricks that you can use to help you and your family members let go of it all. Think about the good karma you are earning with each donated item, for example.

Children are usually easy to encourage if you tell them to choose toys they no longer want or need to give to other children who may not have any. This gets easier as children get older and begin to outgrow some of their old toys.

Another great trick that works for both children and adults is to make a rule that any time you get a new item, you must get rid of something else you own. For more tips, check out my article: How to Cure a Clutterbug: Easy Steps to Simplify Your Home.

Donating your old things is great for so many reasons. You can clean and declutter your home, simplify, earn tax credits, and help others all at the same time. Consider making it your New Year's resolution!