In March of 2019, Thomas makes a $5,000 cash contribution to a public university. In that month, he also donates $20,000 to an organization subject to the 30 percent limitation. Thomas has adjusted gross income for 2019 of $30,000. What is the amount of Thomas's 2019 charitable contribution deduction?

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Kirsten Reynolds

4 January, 16:17

In March of 2019, Thomas makes a $5,000 cash contribution to a public university. In that month, he also donates $20,000 to an organization subject to the 30 percent limitation. Thomas has adjusted gross income for 2019 of $30,000. What is the amount of Thomas's 2019 charitable contribution deduction?

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Mikey · Answer 1

The amount of Thomas's 2019 charitable contribution deduction is $14,000

Explanation:

In order to calculate the amount of Thomas's 2019 charitable contribution deduction we would have to calculate the following:

amount of Thomas's 2019 charitable contribution deduction = Cash contribution + [30% of adjusted gross income or actual property, whichever is lower]

amount of Thomas's 2019 charitable contribution deduction = $5,000 + [ (30% * $30,000) or $20,000, whichever is lower]

amount of Thomas's 2019 charitable contribution deduction = $5,000 [ $9,000 or $20,000]

amount of Thomas's 2019 charitable contribution deduction = $5,000 + $9,000

amount of Thomas's 2019 charitable contribution deduction = $14,000