This is a classic win-win. I get rid of my old stuff, Goodwill takes it and resells it cheaply, giving people jobs in the process. I donate all my old socks, because I understand that they recycle them into rags. Maybe tony NYC locations don't do this? I get a receipt if I want one, but it is totally blank, no date, no contents, and I have to fill it in. That's fine. I fill it in and I take a digital picture, just in case the IRS ever comes knocking. That's not to say that other charities aren't as good or better than Goodwill, but I don't have time to take blankets to pet shelters, socks to homeless shelters etc. If you do, then more power to ya.
1
I've donated for years to both the Salvation Army and Goodwill. Never once have I received a receipt that listed either the number of bags or the contents. And it's the same in the three states I've lived in over the last 40 years. Instead, I'm given a blank receipt with exactly two things written: the date and a scrawled signature. The rest is up to me.
This laziness on the part of the workers is an invitation for blatant dishonesty. What is to prevent anyone, including Bill Clinton, from filling in "10" for the number of bags, when all that's been donated is a pair of undershorts? Even if the charity were to list the number of bags, how is it possible to differentiate between a grocery bag and the large black lawn bags my husband shleps to Goodwill?
I don't photograph what I donate. But as I fill up bags for donation, I list each item individually, by bag number, with a full description, including brand, fabric, color, whether short- or long-sleeved, etc. And as I'm doing that, I also list the fair market value, as determined by It'sDeductible or the charity's fair market value lists. I attach the donation receipt to my itemized list and save it, along with a good many of the receipts from the original purchases.
I do itemize my deductions; I paid good money for the clothing I bought, and I do a fair amount of work in preparing my donations. Why shouldn't I be entitled to the tax deduction?
This laziness on the part of the workers is an invitation for blatant dishonesty. What is to prevent anyone, including Bill Clinton, from filling in "10" for the number of bags, when all that's been donated is a pair of undershorts? Even if the charity were to list the number of bags, how is it possible to differentiate between a grocery bag and the large black lawn bags my husband shleps to Goodwill?
I don't photograph what I donate. But as I fill up bags for donation, I list each item individually, by bag number, with a full description, including brand, fabric, color, whether short- or long-sleeved, etc. And as I'm doing that, I also list the fair market value, as determined by It'sDeductible or the charity's fair market value lists. I attach the donation receipt to my itemized list and save it, along with a good many of the receipts from the original purchases.
I do itemize my deductions; I paid good money for the clothing I bought, and I do a fair amount of work in preparing my donations. Why shouldn't I be entitled to the tax deduction?
5
Same exact story here. I have often wondered how the IRS has any idea who is scamming the deduction, but I keep meticulous records in case they come calling.
1
What does this have to do with Bill Clinton?
Shortly after I retired last year, I went through my closets and brought out probably 6 - 8 pantsuits, a couple of blazers, various skirts and blouses, and some belts, shoes and scarves I no longer wore. Donated it all to a local branch of Dress for Success, which helps outfit women in transition for job interviews. I still need to make another pass through the closets, and get rid of some more things. Places like Dress for Success are especially in need of business-appropriate plus-size clothing, so keep them (and similar organizations) in mind if you lose a considerable amount of weight and have to buy smaller clothing.
I tend to wear my clothes until they almost fall to pieces, so by the time I'm ready to get rid of them I feel a little guilty about passing them on. Then again, we get calls at least once a week from one charity or another begging for discards, so I guess I should just fill up a couple of shopping bags and let whoever gets the clothes deal with them.
And no, we almost never deduct the donations.
I tend to wear my clothes until they almost fall to pieces, so by the time I'm ready to get rid of them I feel a little guilty about passing them on. Then again, we get calls at least once a week from one charity or another begging for discards, so I guess I should just fill up a couple of shopping bags and let whoever gets the clothes deal with them.
And no, we almost never deduct the donations.
3
I save receipts and store them, along with a photo of the item as donated (not at point of sale.) A never-word silk skirt with tags on was a write-off for me, you bet. Ditto brand new $65 cleats, in box, that a teen couldn't use after an injury.
It takes less than five minutes to snap pics at Goodwill or domestic violence thrift store.
I take shots of the full bins when not-new but good condition items (king size down comforter) are donated. I print these out and store the pics with tax paperwork.
Pictures of items at purchase are not as useful. Most things look good in the store. Proving that an item is in A condition at time of donation is a different story....
It takes less than five minutes to snap pics at Goodwill or domestic violence thrift store.
I take shots of the full bins when not-new but good condition items (king size down comforter) are donated. I print these out and store the pics with tax paperwork.
Pictures of items at purchase are not as useful. Most things look good in the store. Proving that an item is in A condition at time of donation is a different story....
1
They give me a receipt. I take it because I'm compulsive but I never take a deduction. It's better to just get it out of my hair and pass it on to someone else who can actually use it. When I was a refugee kid, I had to depend upon the kindness of strangers. Now, I pay it forward!
10
Wait a second, didn't Bill Clinton donate used underwear and deduct each for $5 each?
1
Check out homeless shelters, Salvation Army Family centers, for groups that accept most all wearable clothing from the naughty to the nice.
Here in Kenya, we thrive on your used clothing. It has spawned many income generating projects and businesses. It has enabled parents to cloth their children. The only reason we don't see naked or rag draped people walking the streets is the clothing you donate. Families can have things like bath mats at affordable prices and families can afford curtains for their windows and nice sheets on their beds. Style conscious people can put together chic outfits and never see themselves coming and going. More power to anybody who takes the trouble to donate or sell at a nominal price. Get all the tax deductions you can! We love you!! OK, you can keep the underpants but please don't turn off the flow of bras.
14
Try the satruck.org website (which stands for "Salvation Army truck"). It gives a range of $ value for a variety of donations, including household appliances, sporting goods and clothing, etc. Were you to use their parameters and were audited it's doubtful the IRS would argue.
1
Oh gee, now you tell me. The dump already turned my underwear and socks down twice. Better just stick to giving them that old chewing gum from the bedpost (overnight)!
I use TurboTax to prepare my own taxes. It automatically walks you through your charitable deductions and assigns a value to all your used clothing donations. I would donate anyways -- hate the idea of throwing away something that someone else could use -- but it's been helpful to get some credit on my taxes for it. Just so happens that I arranged with Big Brother Big Sister of Long Island to make a pick today -- I put out 6 large bags of clothes!
2
The charitable donation deduction frankly should be done away with. chick out the Bible: "render unto Caesar, the things that are Caesar's, and unto God, the things that are God's."
Pay your taxes all of them already -- you know who you are and it's not only the Koch Bros. The rest of us make up for what you are not paying in taxes because of your donations (I call much of it marketing!!)
Pay your taxes all of them already -- you know who you are and it's not only the Koch Bros. The rest of us make up for what you are not paying in taxes because of your donations (I call much of it marketing!!)
3
I don't think that used clothing contributions should be tax deductible at all. You can't even itemize unless you have a big mortgage so the benefits of the deduction aren't even available to most households even though everyone ends up with some unwanted used clothing. Someone pays $100 for fancy jeans then takes a $20 tax deduction, paying $10 less in taxes. $10 used for food stamp funding would have a lot more value to the poor than a used pair of pants.
The NYT should ask the IRS to total the value of non cash deductions taken. Compare that to the budget for food stamps.
The NYT should ask the IRS to total the value of non cash deductions taken. Compare that to the budget for food stamps.
3
Any suggestions for used but washed clean bed pillows? I'm told they can't be used due to the prospect of bed bugs, but that they are major clogs to landfills.
I've donated bed and also 'toss' pillows to animal shelters and also Habitat. Habitat did not pass them along to its thrift store, but used them as padding in trucks it sends out to pick up donations.
King size bolster pillows be used to brace lamps and other items that would otherwise be damaged in the truck. Pillow cases were used as dividers in dish sets and other fragile pieces.
Animal shelters in my area welcome pillows, as well as clean towels and bedding.
King size bolster pillows be used to brace lamps and other items that would otherwise be damaged in the truck. Pillow cases were used as dividers in dish sets and other fragile pieces.
Animal shelters in my area welcome pillows, as well as clean towels and bedding.
4
Maybe an animal shelter could use them?
1
I never buy "wipes" or special cloths for cleaning - that's what old socks and T-shirts are for. And some clean cut-up bits of T-shirts kept in the car give you something handy to wipe the windshield with, or to wipe your sticky fingers after some unexpected mishap during the journey. Oh, and never bother to buy commercial stuff for cleaning windows - a squirt of dishwashing liquid and a healthy glug of white vinegar, diluted with a couple of pints of water and kept in an old spray bottle does the trick very nicely. I keep that in the car too, for when the liquid available at the gas station looks too disgusting.
Admittedly, by the time I finish with socks, underwear and T-shirts, even the most desperate homeless person would probably turn up their nose at them ...
Admittedly, by the time I finish with socks, underwear and T-shirts, even the most desperate homeless person would probably turn up their nose at them ...
7
We prefer to donate clothing in good condition to "House of Blessings," a local (central New jersey) church-related pickup service because they don't resell, they GIVE the clothes to needy people.' It's run like a food pantry, except it's for clothing , and they accept clean, new stuffed animals as well. Better a warm coat should go to a homeless person than a bargain hunter or collector of retro clothing.
13
Where I live, Goodwill does sell bras, panties and socks, at least for women. And, why not, if they're clean? Who is Goodwill for? Although it's become fashionable for teens and trendy people to shop there looking for bargains and "retro" clothing, the main reason that Goodwill and Salvation Army stores were created was to provide clothing and household goods to people who couldn't afford to buy new. People living paycheck to paycheck, or homeless people with a few bucks in their pocket can find inexpensive necessities at these stores. If a woman needs underwear and can't afford to buy new, what's wrong with providing her some that's used, but clean?
20
I do virtually all my clothes shopping at various Goodwill stores, and have for many years. Here in Maine you can find excellent lightly worn LL Bean women's clothes (with the tags sporting a large Magic Marker X so they can't be taken back to Freeport for a refund!).
The underwear I see there is always brand new. Perhaps factory seconds? As the article said, they don't accept used underwear. In fact, Goodwill seems to be selling more and more brand-new items these days, many of which are knickknacks you might see in a Dollar Store. Those seem to be aimed at impulse purchases.
The underwear I see there is always brand new. Perhaps factory seconds? As the article said, they don't accept used underwear. In fact, Goodwill seems to be selling more and more brand-new items these days, many of which are knickknacks you might see in a Dollar Store. Those seem to be aimed at impulse purchases.
4
I grew up in Bellevue and in the 60"s the Seattle Goodwill was a regular stop for us. My father liked the old toasters that looked like a Model A, sides that flipped the toast over--nobody but Goodwill would repair them, so he'd donate them and then get another there, or come back a few days and re-buy ours.
As for me, with two older sisters I got really tired of hand-me-downs, so I would buy clothes at Goodwill and alter them myself.
As for me, with two older sisters I got really tired of hand-me-downs, so I would buy clothes at Goodwill and alter them myself.
1
As retired seniors, we take the standard deduction. Clothing we give to Goodwill or the Salvation Army is to free up space in the closet for new items, not to get a tax deduction. It's nice to have new stuff when you know you can't take it with you.
Warning to male seniors: Make the wife put her give-away stuff in the donation bag. If you mistakenly put some of her expensive seldom-worn shoes in the bag, they will be sold within a day for a couple of bucks and you will never hear the end of it (or she may buy new shoes two-for-one).
Warning to male seniors: Make the wife put her give-away stuff in the donation bag. If you mistakenly put some of her expensive seldom-worn shoes in the bag, they will be sold within a day for a couple of bucks and you will never hear the end of it (or she may buy new shoes two-for-one).
10
Only Bill and Hillary claim used underwear on their taxes. The year before he started running for president, Bill Clinton wrote off a gift-in-kind on his federal return (public record). It was his used underwear. It was their only charitable deduction that year!
With a wife, two daughters and a live-in mother-in-law, I make frequent donations of used clothing and household goods to the Salvation Army and my own church's thrift shop. I use the SA guide to valuing these gifts-in-kind for tax deduction purposes and I keep records.
The SA sells in bulk what they cannot sell in their shops. For this reason I do contribute used underwear and worn-out clothing. I NEVER claim these articles for my taxes.
When political candidates publish their charitable giving, I always wonder how much they wrote off BEFORE they decided to run for office.
With a wife, two daughters and a live-in mother-in-law, I make frequent donations of used clothing and household goods to the Salvation Army and my own church's thrift shop. I use the SA guide to valuing these gifts-in-kind for tax deduction purposes and I keep records.
The SA sells in bulk what they cannot sell in their shops. For this reason I do contribute used underwear and worn-out clothing. I NEVER claim these articles for my taxes.
When political candidates publish their charitable giving, I always wonder how much they wrote off BEFORE they decided to run for office.
3
And how do you know this?
2
Thats what I have been told too - unused clothes get recycled for other purposes
Also Check out.
http://www.grownyc.org/clothing
Also Check out.
http://www.grownyc.org/clothing
2
I donate items to the Housing Works Thrift Store on Montague Street, but be advised that every night large bags of what they deem unsaleable stuff winds up on the curb, awaiting pick up by garbage trucks. Often people will pick through the bags, finding (free!) treasures for the taking. The Montague Street outlet is a net exporter of high quality donations to the rest of the stores.
Housing Works operates a bookstore café in Manhattan, and the chain generally offers merchandise and furniture that is far above that offered by Goodwill.
Housing Works operates a bookstore café in Manhattan, and the chain generally offers merchandise and furniture that is far above that offered by Goodwill.
2
Won't homeless shelters and other charitable organizations that serve the needy (think Goodwill, but they give away items rather than sell them) take used underwear and socks in good condition? They may be of no use for Goodwill and the like, but for someone on the streets, they might have use.
5
The biggest problem with the tax deduction for the donated clothing is, how does one estimate its "fair market value". The IRS is dumb on this subject in its voluminous instructions and one is left to guess a value of perhaps between 10% and 60% of the purchase price.
1
Just go to the Goodwill website, and they have a two or three page list of items and suggested valuations. Simple enough.
Use the software ItsDeductible. It's a pain but at least you're using guidelines that have some legitimacy.
2
Our local thrift clothing store (ARC) has told us to INCLUDE worn-out clothing, torn clothing, & stained clothing, even if we know they CAN'T re-sell it, because they can sell it to fabric recyclers to make mop heads, rags, and other kinds of fillings for mattresses, etc., and whenever I've dropped off bags that are separated between "retail-able" clothing and stuff I know is only good for the recycling pile, they've said not to even bother separating them, as every item is put through the same screening and sorting process.
28
Seattle has a similar program called "threadcycle" so the unusable stuff gets sorted out as above.
3
When I was a stay at home mom, I volunteered at the community thrift store where all profits went back to the community. While there, I spoke to a woman who was buying a lot of socks. I asked what was she going to do with all of them. She explained to me that her husband was a solider and he went through socks really fast. The army doesn't supply them. So don't toss good socks. Find a place where they will be used.
26
Do people really take tax deductions for throwing a couple of used shirts to the local Goodwill?
And is that really the reason why they do it?
I’ve gotta hope no.
And is that really the reason why they do it?
I’ve gotta hope no.
12
Nope. I took a couple of bags of clothes to Goodwill and didn't even ask for a receipt, because I don't itemize my tax deductions anyway. They were clothes in fine condition (mostly Ann Taylor), except that they were slightly wrong in size or style, discovered only after the tags had already been cut off. I needed to clean out my closets after I changed sizes and revamped my wardrobe, and learned to keep the tags on a bit longer.
3
Yes, we do. And we do it because it helps. All around.
Why do you find that objectiionable?
Why do you find that objectiionable?
4
Nice clothes for three kids who grow out of them every six months? A custom suit my husband can't wear since he lost weight? Mail-order pumps that didn't fit, and didn't get returned in time? YES.
5
What we really need to be doing is stop worrying about our tax write offs and stop consuming so much! All this clothing is produced on the back of underpaid labor and then gets recycled on another's back. The feel good of donating is incredibly thin as the real picture of the labor involved is heartbreaking - for people and the planet.
41
Well Peggy, I try to always buy American made goods, preferably made with Union labor. Failing that, I default to Canada, the UK, or EU countries. I wear them for a good long time and when I donate them, they are clean and still wearable. Perhaps your penchant for Chinese or Bangladeshi clothing fits the description above, but don't deign to cast aspersions on my method of financial management. When I donate a Hickey-Freeman Suit or Allen-Edmonds shoes that someone can wear to a job interview I feel perfectly fine taking a tax write off.
I was reading a different article this week which said homeless shelters have a desperate need for socks more than any other item of clothing. So please donate your used socks to homeless shelters.
21
Excellent point--When I do spring cleaning, call ahead and ask homeless shelters what they need. That way, the very most desperate people get stuff for free, with no middleman making a profit.
4
I have been donating clothing to Goodwill and others for thirty years. The tax deductions are not worth bothering with. I have never filed. I don't care. I give it away. It's gone. Really people are you truly itemizing your old clothes? Has it made a difference?
8
Yes. The tax savings begets more giving.
15
There are online sites now such as ThredUp or LikeTwice that will buy used clothing in good condition. You will probably get more than a deduction on your taxes.
1
I had been told that Goodwill could take useless textiles and get something for recycling them - but it isn't that clear here that it is worth it for them. In some areas, sporadic "Textile waste" days have been added to "E (electronic)" and Hazardous waste days to keep this stuff out of the trash. Amazng how much more waste we generate - -
7
My husband was given a Rolex watch for a gift one year. Since he didn't wear it often I asked if I could keep it with my jewelry for safe keeping. He declined- he had a system- he hid the watch in a pair of rolled up socks. When we moved he got rid of a lot of clothes including some socks. I was hoping someone had a nice surprise but it was probably tossed in the garbage.
Moral of the story- listen to your wife.
Moral of the story- listen to your wife.
68
i did the same thing Ouch!
1
When I donate, I bring it to a thrift shop near me, for about a 1/3 original price donation. Really, it doesn't pay to get greedy! If you are doing a whole house, as in an estate sale, there is a form on the IRS website for that. As for castoff such as old towels and sheets, many pet rescue operations will take these (old tennis balls too) for pet bedding. At last, the old socks or clean underwear can go into a bin--all of this activity keeps stuff out of landfills! Big brothers, big sisters, and veteran organizations will also pick up from your front door (at least in the suburbs) which makes spring cleaning a breeze. Just because clothing is cheap these days, doesn't mean we should buy more of it!
18
Sorry 1/3 original price is greedy.. I try to buy things in the store at 1/3 original price.
Google Clinton tax return charitable deduction, you'll see they deducted bill's underwear contributions at $2 each. And look at them now, NYT reports today that they made $30 million in 16 months.
11
Must have been silk.
The rules about used clothing are different here. In my county, here's what King County Solid Waste says:
It is estimated that charitable organizations collect only 25% of the 4 million tons of used textiles discarded annually in the United States. In an effort to keep these materials out of the landfill, King County is partnering with Northwest Center, a local non-profit agency, to offer textile recycling at several of the transfer stations. Textile collection bins are located in the free primary recycling areas at each station.
Textiles accepted at participating King County transfer stations:
Clothing
Bedding (No Mattresses)
Boots
Curtains
Fabric
Linens
Shoes
Stuffed Animals
Area Rugs
Items are accepted in any condition except wet, mildewed or contaminated with hazardous materials. Singles of items that are normally paired up, such as shoes and socks, are also accepted.
So you can recycle all your washed clothing, shoes, etc., items here.
It is estimated that charitable organizations collect only 25% of the 4 million tons of used textiles discarded annually in the United States. In an effort to keep these materials out of the landfill, King County is partnering with Northwest Center, a local non-profit agency, to offer textile recycling at several of the transfer stations. Textile collection bins are located in the free primary recycling areas at each station.
Textiles accepted at participating King County transfer stations:
Clothing
Bedding (No Mattresses)
Boots
Curtains
Fabric
Linens
Shoes
Stuffed Animals
Area Rugs
Items are accepted in any condition except wet, mildewed or contaminated with hazardous materials. Singles of items that are normally paired up, such as shoes and socks, are also accepted.
So you can recycle all your washed clothing, shoes, etc., items here.
13
You don't have to go to the dump (oops, sorry, "transfer station") any more, most thrift stores and drop boxes in King County, WA will take textiles that are dry and not contaminated with hazardous materials, even shoes. Search for King County Threadcycle for details. Seattle's "progressive" reputation is not always deserved, so it's nice to see a case where we really are doing something right.
2
Glad to hear about this. How are these items recycled? Where do they go and what happens to them?
We regularly go through our closets and the garage for donation to Goodwill, to both get rid of things in fairly good shape and to help the bottom line at tax time. We did find two kinds of items they don't take" 'Anything hanging," like lamps and a bed frame. (In the end I just accidently forgot to load it back into my car and by two days later, it was gone.)
Last year I took my 1979 Sears sewing machine to Out of the Closet, my favorite thrift store. They were glad to take it - perhaps to make repairs on clothes and sell them for a better price. (I didn't try to deduct any of the original $108 cost).
8
Good for you in not deducting any of the original $108 cost! Not everything we do should be deductible - that kind of thought process deducts from our humanity, I think.
Compare your action with the Clintons' tax returns - "deducted Bill's underwear contributions at $2 each". See Joseph's comment above.
Compare your action with the Clintons' tax returns - "deducted Bill's underwear contributions at $2 each". See Joseph's comment above.
1