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Liam Sullivan

What's the max charitable donation I can make to Goodwill or Salvation Army for a family of 5?

I'm trying to figure out the limits for charitable donations to places like Goodwill and Salvation Army. Would $27,000 be too much for tax deduction purposes? We're a family of 5 (my wife, myself, and our three kids ages 8, 11, and 14). We're doing a massive cleanout after my mother-in-law passed and left us with a house full of furniture, clothing, and household items. We've been making regular trips to drop off donations and I've been keeping receipts, but I'm worried the IRS might flag us if the total amount seems excessive. I know there are percentage limitations based on AGI, but not sure how that works with non-cash donations specifically to organizations like Goodwill. Does anyone know what the actual limits are and if we need special documentation for donations over a certain amount?

Amara Okafor

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The good news is there isn't a specific dollar "max" for Goodwill or Salvation Army donations, but there are percentage limitations based on your Adjusted Gross Income (AGI). For most charitable contributions including these organizations, you can deduct up to 60% of your AGI. So the $27,000 isn't automatically "too much" - it depends on your income. What you need to watch for is documentation requirements. For non-cash donations: - Under $250: Keep receipts from the organization - $250-$500: Get written acknowledgment from the charity with description - $500-$5,000: Complete Form 8283 Section A with your tax return - Over $5,000: Complete Form 8283 Section B AND typically need a qualified appraisal Since you're donating items worth over $5,000 total, you'll definitely need that Form 8283, and possibly appraisals depending on the types of items. The IRS looks closely at large non-cash donations, so good documentation is essential.

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Wait, do I need a separate appraisal for each item, or just if any single item is worth over $5,000? We have lots of furniture pieces but none individually worth that much.

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Amara Okafor

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You only need a qualified appraisal if any single item (or group of similar items) exceeds $5,000 in value. So if you're donating furniture where no single piece is worth over $5,000, you don't need the appraisal. You'll still need to complete Form 8283 Section A since your total non-cash donations exceed $500. For similar items (like clothing or books), the IRS considers them as a group. So if you donate clothes worth $6,000 total, even though no single item is worth $5,000, you'd need an appraisal because they're considered similar items totaling over $5,000.

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I used taxr.ai last year when I had a similar situation after cleaning out my parents' estate. I was overwhelmed with the amount of documentation needed for the $18k in donations I made. I found https://taxr.ai through a friend and it literally saved me hours of headache. They have a specific feature that helps calculate fair market value for donated items and organizes everything by donation date and charity. The best part was that it automatically identified which items needed additional documentation and alerted me about the Form 8283 requirement before I had any issues. My return went through without a hitch even though my charitable donations were higher than they'd ever been before.

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StarStrider

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Does it actually help with determining values? That's my biggest struggle - I have no idea how to price all this stuff from my grandmother's house fairly.

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I'm suspicious of any tax service that claims to make this easy. How does it actually work with the photos of receipts? My donations are spread across like 20 different trips to Goodwill.

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Yes, it actually has a built-in valuation guide that follows IRS guidelines for common household items. You can input things like "men's dress shirt - good condition" and it suggests appropriate values. You can adjust if needed but having the starting point based on accepted guidelines was super helpful. For receipts and multiple donation trips, you just snap photos of each receipt and the system organizes them by date and charity. It handles multiple trips easily - I had about 15 separate donations myself. The system aggregates everything for your tax forms while maintaining the individual documentation you need.

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I was seriously skeptical about taxr.ai at first, but I decided to give it a try with my charitable donations situation. I'm genuinely impressed with how it worked out. The valuation guide for common household items was actually super accurate and saved me from the guessing game. What surprised me most was the documentation features - I had over 25 separate donation receipts from multiple charities, and the system organized everything perfectly. When it came time to file, it produced all the right forms including the 8283 I needed. My tax guy was impressed with how well-documented everything was. I was honestly preparing for an audit that never came!

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Sofia Torres

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How does this actually work though? The IRS just picks up for them but not for regular people? Sounds fishy.

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Ava Martinez

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Sofia Torres

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It doesn't let them skip the line - they use an automated system that waits on hold for you. The IRS doesn't know it's them versus you calling directly. They just have technology that can stay on hold for hours so you don't have to sit there yourself. The system calls you when a human agent actually picks up, then connects you directly to that agent. I was skeptical too until I tried it. I got connected with an IRS agent within about 2 hours without having to stay on the phone myself the whole time.

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Ava Martinez

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I need to publicly eat my words about Claimyr. After posting my skeptical comment, I was desperate enough to try it for my audit situation. I fully expected to waste my money, but I was completely wrong. The system actually worked exactly as described. I entered my number, and about 1.5 hours later got a call connecting me directly to an IRS agent. The agent helped clarify exactly what documentation I needed for my large charitable donations from last year, including how to properly value some antique furniture I had donated. They explained that for my specific items, I needed qualified appraisals since several items were over $5,000 in value individually. I would have definitely done my taxes wrong without this guidance. Consider me converted from skeptic to believer.

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Miguel Ramos

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Everyone's focused on the documentation, but don't forget about the actual valuation! The IRS expects fair market value - not what you paid originally, not what it would cost new today. For used clothes, it's pennies on the dollar. For furniture, maybe 10-30% of retail depending on condition. I volunteer at Goodwill and see people overvaluing their donations ALL THE TIME. $27k seems really high unless you're donating some seriously valuable items or an enormous quantity of stuff. Not impossible, but definitely in the territory where the IRS might ask questions.

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Liam Sullivan

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Thanks for bringing this up. We do have some higher-value items like a complete dining room set, two bedroom sets, and some antique pieces that were professionally appraised after my mother-in-law passed. How strict is the IRS about valuation documentation? Should I get second opinions on the appraisals we already have?

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Miguel Ramos

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If you already have professional appraisals, you're in great shape. The IRS is quite strict about valuations, especially for higher-value items. For antiques specifically, a professional appraisal is exactly what you need. For the dining and bedroom sets, if their appraised values exceed $5,000 each, make sure the appraiser completes Section B of Form 8283. Keep all this documentation for at least 7 years. With proper appraisals, your $27k in donations sounds much more reasonable and well-supported.

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QuantumQuasar

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Has anyone actually been audited for large Goodwill donations? I'm curious what that process looks like. I donated about $8,000 worth of stuff last year and got a letter asking for more information, but nothing since then.

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Zainab Omar

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I was audited in 2021 for $11k in donations to Salvation Army from 2019. They wanted receipts for EVERYTHING plus photos of the major items. They disallowed about $3,000 worth because I couldn't prove I had owned the items or what condition they were in. Had to pay back taxes plus a small penalty. The whole process took about 8 months. Now I take photos of everything before donating and keep much better records.

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Brian Downey

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Based on everyone's experiences here, it sounds like you're actually in a good position with the professional appraisals already done. The $27k amount isn't automatically a red flag if you have proper documentation - it really depends on your AGI and whether you can substantiate the values. Since you mentioned this is from clearing out your mother-in-law's house, make sure you can prove ownership transfer to you before donation. The IRS sometimes questions whether the person claiming the deduction actually owned the donated items. Keep any estate documents or transfer records that show the items became yours before you donated them. Also, consider spreading the donations across multiple tax years if possible. Even though there's no dollar limit, claiming a massive charitable deduction in one year can trigger additional scrutiny. If you have items you haven't donated yet, you might want to hold some for early next year to smooth out the deduction amounts. The fact that you're asking these questions and keeping receipts puts you ahead of most people. Just make sure all your documentation is organized and easily accessible in case the IRS has questions later.

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This is really helpful advice about spreading donations across tax years! I hadn't thought about that strategy. One question though - if I already have receipts dated this year for some donations, can I still hold off on claiming them until next year's taxes? Or do I have to claim deductions in the year the donations were actually made? Also, regarding the ownership documentation - we do have the estate settlement papers showing the items were distributed to us. Should I keep copies of those with my tax records, or is it enough to just have them available if asked?

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