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Year-End Giving in 2026: The New Charitable Deduction Rules Long Island Donors Should Know

By Peter Goldfarb, Enrolled Agent · November 5, 2026 · 5 min read

November and December are when many Long Island families write their biggest checks to their church, temple, food pantry, volunteer fire department or alma mater. This year the federal rules for deducting those gifts changed in two important ways, and they pull in opposite directions depending on whether you itemize. Here is what is new for 2026 and what to do before December 31.

Change one: a deduction for people who do not itemize

For years, most people who took the standard deduction got no federal tax benefit from their donations. Starting with tax year 2026, that changes. According to the IRS, if you do not itemize, you may deduct up to $1,000 of qualifying cash contributions, or $2,000 if you are married filing jointly. You claim it on top of your standard deduction, which for 2026 is $16,100 for single filers, $32,200 for married couples filing jointly and $24,150 for heads of household.

A few details matter here:

• Cash only. The IRS describes this as a deduction for cash contributions, which includes checks and other monetary gifts. Donated clothing, furniture or a car does not count toward it.
• The gift must be made in 2026. The IRS says the contribution must be made during 2026 to count on the 2026 return you file in 2027.
• Donor-advised funds generally do not qualify. If you give through a donor-advised fund at a brokerage firm, the IRS says those donations generally do not qualify for this new deduction.
• The charity must be eligible. Gifts to individuals, such as a neighbor going through a hard time or a crowdfunding page for a person, are not deductible. You can look up an organization with the IRS Tax-Exempt Organization Search tool. The IRS notes that some eligible groups, such as certain churches and government organizations, may not show up separately in that search.

Change two: a new floor for people who itemize

If you itemize on Schedule A, the news is less friendly. The IRS says that beginning in 2026, you can only deduct charitable contributions that are more than 0.5% of your adjusted gross income. The amount under that floor cannot be deducted in 2026.

Here is a simple illustration. If your adjusted gross income is $150,000, half a percent is $750. If you give $5,000 to charity during the year, the first $750 does not count, and the deductible amount is $4,250 (before any other limits).

The IRS also says this floor is in addition to a separate overall limit on itemized deductions for 2026 that applies to higher-income taxpayers. If your taxable income is above $768,700 for married couples filing jointly, or $640,600 for single and head of household filers, your itemized deductions may be reduced further. That group should run the numbers carefully.

Should you itemize or not?

This question matters more than usual on Long Island this year, because the federal limit on deducting state and local taxes is $40,400 for 2026 according to the IRS ($20,200 if married filing separately). With our property taxes, more Nassau and Suffolk homeowners may find that itemizing beats the standard deduction. If you itemize, the $1,000 or $2,000 non-itemizer deduction is not available to you, and the 0.5% floor applies instead. If you take the standard deduction, your gifts count up to the cap, but anything above it gives you no extra federal benefit.

Some people group two years of giving into one so they itemize that year and take the standard deduction the next. Whether that helps depends on your income, mortgage interest, taxes and giving plans. It is worth a projection rather than a guess.

New York has its own rules for itemized deductions, so your state result will not always mirror your federal one. I look at both returns together.

Keep the paperwork now

The record rules have not gone away, and they apply whether or not you itemize:

• For any cash gift, keep a bank record or a written communication from the charity showing its name, the date and the amount.
• For any single gift of $250 or more, the IRS requires a written acknowledgment from the organization. It should show the amount and state whether you received any goods or services in return. Get it before you file.
• For donated property, keep a description of what you gave and its fair market value. Larger noncash gifts may require Form 8283 or an appraisal.

A short year-end checklist

1. Total what you have given so far in 2026, and how (cash, check, card, property, donor-advised fund).
2. Estimate whether you will itemize or take the standard deduction this year.
3. If you will not itemize, make sure at least your first $1,000 or $2,000 goes directly to an eligible charity in cash or by check or card.
4. If you will itemize, keep the 0.5% floor in mind when deciding how much and when to give.
5. Collect acknowledgment letters for every gift of $250 or more.

This post is general information, not advice for your specific situation, and the IRS may issue more guidance on these new rules, so check current IRS guidance before relying on any one detail. If you want help figuring out the smartest way to time your giving this year, call or text me at 631-625-5877. I work remotely or at your home by appointment.

This article is general information, current as of November 5, 2026, and is not tax, legal, or financial advice for your specific situation. Tax rules change, so please check with a professional before acting.