The Charitable Deduction in Connecticut

2017 marks the 100th year of the charitable deduction. The charitable deduction encourages charitable giving by individuals to the benefit of communities across the country.

This resource give data for Connecticut.

The charitable deduction is tax provision which allows individuals to reduce their taxable income by the amount of the charitable contributions they make if they itemize their deductions. As a result, taxpayers generally are not subject to federal income taxes on money they give away to charities. Some limits may apply depending on the type of gift (cash, stocks, and real property, for example) and the type of organization receiving the gift.

A cap, or reduction on the Charitable Deduction would impact how generous individuals give. The Charitable is a tax provision that allows individuals to decrease their taxable income by the amount of the charitable contributions they make if they itemize their deductions. Millions of individuals rely on nonprofit services that are funded by the generosity of individual donors. The nonprofit sector is part of the solution to address both urgent and ongoing needs in communities across the country. Many nonprofits that provide these critical services generate much of their revenue through gifts that the deduction makes possible. We caution lawmakers to consider the consequences for the charitable sector when debating proposals to reduce or limit the deduction.