Tips for tax planning when giving to charities

Posted at 9:02 AM, Oct 05, 2017
and last updated 2017-10-05 09:02:43-04

LEE COUNTY, Fla.-- Between hurricanes and the recent Las Vegas shooting, we know a lot of you are giving to charities right now. You should also know the tax implications.

Waterstone Financial owner James Gallagher has some tips for you. He says the IRS gives you a big tax break if you use distributions to give to your charity.

He says not all charities are the same, though. For the IRS to allow your deduction, the charity must be registered. Most churches are registered, as will as big charitable organizations like United Way.

You must consider if the money you are giving gets to those who actually in need. You can check the validity of the organization online on websites like Charity Navigator or Charity Watch.