You can’t deduct the time you spend performing volunteer work from our taxes. You are not allowed to deduct the value of your time for helping with charitable causes. However, if you hire a babysitter so you can volunteer, that payment is considered a charitable donation by the IRS. You can also deduct miles driven for charitable purposes, although the deduction is lower than the standard mileage rate for business purposes.
Giving to individuals raising funds for a charitable cause can be rewarding, because you have direct knowledge of what the funds are going
to do and who is doing it. An example, if someone is going to do a 5K Run to raise money for a worthwhile cause, giving them a donation can
allow them to achieve that goal. And you get to take that cash as a tax deduction.
Donating to a Charitable Organization like the American Red Cross, American Heart Association, Habitat for Humanity or similar can make you feel good AND let you take that contribution as a deduction on your taxes.
Remember – GET A RECEIPT! And receipts come in many forms. Keeping proof of your contributions and expenses is extremely important. Paying the babysitter or making that donation with a check, credit card or PayPal can help with the receipt requirements.
QuikTax™ can help you figure out what is and isn’t deductible.