Consolidated Appropriations Act

The following information updates and replaces previous content regarding the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) enacted in March of 2020.

Tax Benefits of the Consolidated Appropriations Act that Support Your Charitable Goals

January 6, 2021

The recently enacted Consolidated Appropriations Act extended and modified some of the charitable provisions included in the CARES Act of 2020.

Here are a few key provisions of the Consolidated Appropriations Act that may affect you and your charitable goals in tax year 2021:

Non-Itemizer’s Charitable Deduction

  • The CARES Act contained a provision allowing taxpayers who take the standard deduction to claim an additional deduction of up to $300 in charitable cash contributions to qualified charities such as the University of Montana Foundation. The Consolidated Appropriations Act extends this benefit through 2021 and expands the available deduction from $300 per tax return to $300 per single filer, or $600 for those married and filing jointly.
The expansion of the benefit to $600 for married couples only applies in 2021 and not in 2020.

100% AGI Deduction for Cash Gifts

  • For those taxpayers who itemize their deductions, the Consolidated Appropriations Act extends a provision of the CARES Act which allows for cash contributions to qualified charities to be deducted up to 100% of your adjusted gross income through the 2021 calendar year.

It is important to note that these new tax incentives do not apply to gifts made to donor-advised funds and do not apply to non-cash gifts. Please consult your professional advisors to discuss your specific situation.

Please contact Director of Planned Giving Alison Schultz at alison.schultz@supportum.org to discuss how your gift can make an impact at the University of Montana.

The University of Montana Foundation provides information about the benefits of charitable giving and does not provide legal, financial or tax advice. Please consult with your advisors to determine any tax benefits available to you.