Deductions and Credits Giving Alert! Thrift Stores, Charities Need Your (Tax Deductible) Donations Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by Published Oct 9, 2008 - [Updated May 23, 2022] 2 min read With economic times being tough, your local thrift store is probably doing a brisk business selling clothing to shoppers who want to save money. Unfortunately, it could also be running short of merchandise. That’s because some people accustomed to donating are holding on to clothes in their closet longer or selling them on eBay, to save money themselves. At the Salvation Army, sales nationwide increased during the summer while donations declined, according to a Sept. 10, 2008 report in The New York Times. Some individual shop managers even said they feared running out of goods by year’s end. So if you’ve been meaning to donate stuff in the back of your closet or the corner of your garage, that news should give you some motivation. Need more reasons to conquer your closet-cleaning procrastination? Remember that your donations are tax deductible, as long as you itemize deductions when you file your income taxes. The IRS requires that you list the “fair market value” of all your donations (yes, each and every outgrown t-shirt and stuffed animal). That value is what the items would fetch in thrift stores, resale shops and online auctions. Even though market values are typically far less than items cost when new, you might be surprised at how quickly your castoffs can add up to several hundred dollars. A pair of men’s khaki pants, depending on the condition, could be worth $6 to $8 each. A full-sized Bratz doll would snag you a $6 to $10 deduction. To meet IRS requirements, your donations must be in good condition. They also must be fully itemized and valued, given to a legitimate charity and the charity must provide you a receipt every time you donate. So take your mind off the economy: De-clutter, do good and get a tax deduction all in one. Previous Post Get Educated on College Savings Tax Breaks Next Post A New Baby and Tax Breaks Written by More from Leave a ReplyCancel reply Browse Related Articles Tax News Intuit TurboTax April Report: A Look at Refunds and S… Tax Planning April 15 is the Tax Deadline: 6 Things You Need to Know… Tax Planning Unable to Pay Your Tax Bill? Here’s What To Do Tax Tips Tax Credits 101: What They Are & How They Work Business How to Know if You Should Invest in Business Insurance Tax Deductions and Credits What Is the Standard Tax Deduction for 2023 – 202… 401K, IRA, Stocks Should You Use Your 401(k) or Retirement to Pay Off Deb… Tax Planning What Happens If You Don’t Pay Taxes? Understanding Pe… Tax Deductions and Credits Family Taxes: Take Advantage of Tax Savings Taxes 101 How Much Do You Have to Make to File Taxes? Demystifyin…