Donating Land To Charity Tax Deduction

Donate land and save on taxes.

Donating land to charity tax deduction.

If the land is worth less than 500 000 an appraiser s signature on the form 8283 is sufficient. Irs tax deductible property donations to charity a real estate donation whether vacant land industrial residential land contracts commercial property or timeshare provides you with a great way to enjoy what many consider an impressive tax deduction. Donations to qualified charities are tax deductible expenses that can reduce your taxable income and lower your tax bill. You must itemize your tax deductions to claim them however and this is typically in your best interest only if the total of all your itemized deductions exceeds the amount of the standard deduction you would receive for your filing status.

You can find a more comprehensive discussion of these rules in publication 526 pdf charitable contributions and publication 561 pdf determining the value of donated property. This form is included when you submit your tax return to the irs. But if it s worth over half a million the full appraisal must be submitted. For some charities land is a burden since if they don t have a use for it they may need to pay to own it and to sell it.

Not every eligible charity wants land. This article generally explains the rules covering income tax deductions for charitable contributions by individuals.