Bunch, Contribute, Recommend, Repeat: Dealing Successfully With New Restrictions on Charitable GivingBunch, Contribute, Recommend, Repeat: Dealing Successfully With New Restrictions on Charitable Giving

The Tax Cuts and Job Act (the Act) provides a new operating environment for the most generous donors as well as more modest ones.

Most generous donors. For those with the greatest financial capacity to give, the Act creates a new incentive and eliminates some disincentives. The adjusted gross income (AGI) limitation for gifts of cash to publicly supported charities has been raised from 50 percent to 60 percent.¹ Charitable deductions are no longer to be nicked by the Pease limitation.² The dramatic expansion of the exemption from the alternative minimum tax (AMT) and the reduced risk of the AMT exemption being phased out means the taxpayer can do multi-year charitable gift planning with more confidence about using the higher regular tax r...