Itemized Deduction or Standard?

April 14, 2009 3:39 PM

I have donated about 11,400 to charity. I'm filing married filing jointly, so my standard donation is 10,900. I really don't have much in the way of other deductions. Should I use the 11,400 itemized deduction? Or use the 10,900 standard deduction and use the donations as deductions for next year?
posted by naveed to Work & Money (12 answers total)

The donations either happened in 2008 or they didn't; they go in this year.
posted by Tomorrowful at 3:42 PM on April 14, 2009 [1 favorite]

Response by poster: Thanks for the reply Tommorrowful. I'm almost sure you can deduct donations that were'nt used as deductions. TurboTax for example has a place for 2007 contributions, which were excluded.
posted by naveed at 3:45 PM on April 14, 2009

I don't think that it works the way that you think it does. They are deductible up to 50% of your income. So that's you. Deductible - 2008.
posted by notned at 3:51 PM on April 14, 2009

You can only carry over deductions in specialized circumstances (most commonly when you've exceeded your deduction limit). See IRS Publication 526.
posted by Sidhedevil at 3:52 PM on April 14, 2009

Yeah, smoke 'em while you've got 'em. With those donations, plus itemized personal deduction, plus whatever other crap, you're gonna be *way* over the standard. Much worth it.
posted by notsnot at 4:21 PM on April 14, 2009 [1 favorite]

Tommorrowful and notned are correct: donations that occurred during 2008 are only deductible in 2008 except for limited exceptions. Sidhedevil mentions the appropriate publication, from which I quote:

You can deduct your contributions only in the year you actually make them. . .

The only exceptions there have to do with either donating more than you can deduct in a given year (at least 30-50% of your income) or which are too specialized to be worth discussing.

You really should look around to see if there's anything else you can itemize: education, health care, mortgage interest, etc.
posted by valkyryn at 4:48 PM on April 14, 2009

See in particular page 13 of Pub 526, "When To Deduct" and "Limits on Deductions". Page 15, "Carryovers", addresses the notion of carrying over over-the-limit deductions as clarified by folks above already.

When you say you don't really have much in the way of other deductions—what about state income/sales tax? Mortgage interest?
posted by cortex at 5:11 PM on April 14, 2009

Keep in mind your state/local taxes are deductible.
posted by zompus at 10:55 PM on April 14, 2009

Response by poster: Thanks everyone. I'm in FL so no state income tax and education-wise, I spend about a thousand. I rent, so no mortgage.

Based on general consensus, it sounds like I'm better off with the itemized deduction.
posted by naveed at 7:03 AM on April 15, 2009

You can deduct state sales tax in lieu of state income tax. I believe there is a way to estimate this if you don't have records. Read the instructions for Schedule A.

Education expenses aren't part of itemized deductions; they go elsewhere on the tax return. Medical expenses are deductible only to the extent they exceed 7.5% of your income.
posted by Dec One at 11:16 AM on April 15, 2009

I'm in Florida, too, and I'm definitely sharing the "better off with itemized deduction" consensus here based on your situation.

I know that's not a new answer, but I also just wanted to tell you that you are awesome for contributing that much to charity!
posted by misha at 11:39 AM on April 15, 2009

Response by poster: Thank you, Misha
posted by naveed at 3:39 PM on April 15, 2009