6. If you itemize, boost charitable donations
Another good idea when it comes to lowering your tax bill is to boost charitable donations, especially if you itemize. From furniture to clothing, there’s nothing you can’t donate. So, make a list of all the items you no longer need, in order to boost your deductions while giving a hand to those who need the most.
If you can’t estimate the value of your donations, TurboTax offers a handy tool that may help you determine their market value. The items that are actually valued at more than $5,000, may require a written appraisal.
You shouldn’t forget about the CARES Act either, since it allows all taxpayers to deduct their cash donations of up to 100 percent of their AGIs if they qualify. However, in general, the percentage is somewhere at 60 of adjusted gross income.
Related articles: What Taxes in Retirement Look Like in All 50 States & The Coronavirus Pandemic: Should I Change My Retirement Strategy?
