Expanded Deductions for Standard Deduction Filers
Beginning in 2026, the One Big Beautiful Bill Act makes it easier for individuals to support charitable organizations while receiving meaningful tax benefits.
Taxpayers can now claim a charitable deduction even if they take the standard deduction, with the following annual limits:
$1,000 for individuals
$2,000 for married couples filing jointly
This provides new flexibility and rewards taxpayers who want to give back without needing to itemize.
Higher AGI Limit for Cash Contributions
The law also raises the limit on cash contributions to public charities:
Previous cap: 50% of Adjusted Gross Income (AGI)
New cap: 60% of AGI
This increase gives taxpayers more room to make larger charitable gifts and potentially reduce their taxable income even further.
Encouraging Generosity Through Tax Savings
These updates are designed to:
Support nonprofit organizations
Encourage greater charitable giving
Offer meaningful tax savings to donors
Whether you’re planning small donations or larger year-end contributions, these changes can help you structure your giving more strategically.
Need Help Planning Your Charitable Giving?
If you’re planning donations or want to align your charitable goals with your tax strategy, our team is ready to assist.
For guidance, please call us at (401) 921-2000 or contact us here.