Let's break down Jon's charitable donations for 2023 to determine what is deductible and then give a summary: ### Jon's Donations: a. **$8,000 cash to his church** b. **$500 check to the Guayaquil Soup Kitchen, a charity based in Ecuador** c. **100 shares of stock (FMV $11,000; cost $2,000) to a local university** d. **$1,500 to Rhode Island State University (his alma mater) for right to purchase basketball tickets** e. **$2,200 cash to the Stonestetters, a fraternal benefit society (not a 50%-charity)** f. **Clothing and household items valued at $1,000 donated to a public charity** g. **10 shares of stock (FMV $1,500; basis $100) donated to a non-50%-charity** ### Analyzing Deductibility: #### **Fully Deductible Donations:** 1. **Church (a):** $8,000 cash to a qualified charity. 2. **Soup Kitchen (b):** $500 cash to a foreign charity but if recognized by IRS (e.g., if it is a U.S.-recognized charity), it's deductible. 3. **Stock to University (c):** Generally, FMV of appreciated stock held long-term given to a qualified charity is deductible. Deduction: $11,000. 4. **Clothing/Household items (f):** Deductible at FMV if in good condition. Deduction: $1,000. #### **Partially/Not Deductible Donations:** 5. **Right to Purchase Tickets (d):** Payments for right to purchase tickets are NOT deductible. 6. **Fraternal Benefit Society (e):** Not a 50%-charity, generally not deductible. 7. **Stock to Non-50% Charity (g):** Limited to cost basis ($100) because non-50%-charity. --- ### **Summary Table** | Donation | Deductible Amount | |----------------------------------------------|-------------------| | a. $8,000 to church | $8,000 | | b. $500 to Soup Kitchen (if IRS-qualified) | $500 | | c. Stock to university (FMV) | $11,000 | | d. $1,500 for ticket rights | $0 | | e. $2,200 to fraternal society | $0 | | f. $1,000 in goods to charity | $1,000 | | g. Stock to non-50%-charity (basis only) | $100 | | **Total** | **$20,600** | --- ### **Final Summary:** - **Jon's total deductible charitable contributions for 2023 are $20,600** (assuming the Soup Kitchen qualifies). - Payments for the right to buy tickets ($1,500) and donations to the fraternal society ($2,200) are **not deductible**. - The stock given to the local university (a 50%-charity) is deductible at its FMV. - The stock given to a non-50%-charity is deductible only up to its cost basis. **Note:** - The deductibility of the Soup Kitchen donation depends on whether it is a U.S.-recognized charity. - The total deductible amount may also be limited to 60% of AGI for cash donations and 30% for property; Jon’s AGI is $45,000, so his deductions do not exceed these limits. Let me know if you want the filled-in numbers for the tax form excerpt shown!

Certainly! Here's a clear and concise final summary based on Jon's 2023 donations: --- **Final Summary of Jon's 2023 Charitable Contributions:** - **Total Deductible Donations:** **$20,600** **Breakdown:** 1. **$8,000** cash donated to his church — *fully deductible.* 2. **$500** cash donation to the Guayaquil Soup Kitchen (assuming it qualifies as a U.S.-recognized charity) — *deductible.* 3. **Stock transfer:** - *100 shares of stock (FMV $11,000; basis $2,000)* donated to a local university (a 50% charity) — *deductible at FMV ($11,000).* - *10 shares of stock (FMV $1,500; basis $100)* donated to a non-50% charity — *deductible only up to basis ($100).* 4. **Clothing and household items valued at $1,000** donated to a public charity — *deductible at FMV.* 5. **$1,500 paid for ticket rights** (to Rhode Island State University) — *not deductible.* 6. **$2,200 paid to a fraternal benefit society** — *not deductible.* **Note:** - The total deductions are subject to IRS limits based on AGI (Jon's AGI is $45,000), but the total of $20,600 is within typical limits. **Summary:** Jon can claim approximately **$20,600** in charitable deductions for 2023, primarily comprising cash, stock, and goods donated to qualified organizations, with non-qualifying payments excluded. --- If you'd like, I can help you prepare the specific entries for the tax forms!

Based on the information provided and standard IRS rules for charitable deductions, the total deductible amount for Jon's 2023 donations is approximately **$20,600**. Here's the detailed reasoning: **Breakdown of Deductible Contributions:** 1. **$8,000 cash to his church:** Fully deductible as a qualified charitable contribution. 2. **$500 check to the Guayaquil Soup Kitchen:** If this organization is recognized by the IRS as a qualified charity (even if based in Ecuador), and the donation is made to a qualified organization, it is deductible. Assuming qualification, this is deductible. 3. **100 shares of stock (FMV $11,000; basis $2,000) to a local university (a 50% charity):** For long-term appreciated stock donated to a qualified organization, the deduction is typically the FMV at the time of donation. **Deduction:** $11,000 4. **$1,500 to Rhode Island State University for right to purchase basketball tickets:** Payments for the right to buy tickets are considered nondeductible personal expenses, so **not deductible**. 5. **$2,200 cash to the Stonestetters, a fraternal benefit society (not a 50%-charity):** Non-qualifying organization; **not deductible**. 6. **Clothing and household items valued at $1,000 donated to a public charity:** Deductible at FMV if items are in good condition. **Deduction:** $1,000 7. **10 shares of stock (FMV $1,500; basis $100) to a non-50%-charity:** Deductible only up to the basis when donated to a non-qualifying organization. **Deduction:** $100 --- **Total Deductible Contributions:** | Item | Deduction Amount | | --- | --- | | Cash to church | $8,000 | | Check to Ecuador charity | $500 | | Stock to local university | $11,000 | | Goods to charity | $1,000 | | Stock to non-50% charity | $100 | | **Total** | **$20,600** | --- **Note:** - The total is within IRS limits based on Jon’s AGI ($45,000), which generally allows for charitable deduction limits of 60% of AGI for cash and 30% for property/donations. - The deduction for appreciated stock is generally limited to the FMV if donated to a qualified organization. **Final affirmation:** Yes, based on the provided data and typical IRS rules, **$20,600** is a correct and reasonable estimate of Jon's deductible charitable contributions for 2023. If you have additional details or specific questions about qualification or form entries, I can assist further.