Have extra Halloween candy and looking for tax deductions? Donate it to the U.S. troops. Brighten the spirits of someone overseas working to protect your freedom. You can generally deduct the value of these goods as an itemized deduction on your Schedule A. It’s simple – document your gift and get a receipt from the organization.
Charitable organizations with 501(3)c status like Operation Gratitude (EIN 20-0103575) and Soldiers’ Angels (EIN 20-0583415) collect leftover Halloween candy to include in care packages for soldiers. They are two of many 501(c)3 organizations on the IRS-approved list to donate tax deductible charitable goods. Always be sure to check the IRS list before claiming your donations are tax deductible, as status can change.
First, make sure your donation is one that is wanted or needed. Our research shows Halloween candy is approved by many charities collecting for care military care packages. Use common sense when choosing an organization and verify with them.
1. Gather your unopened bags of commercial candy sealed in wrappers. According to known sources, hard candy travels best – which unfortunately rules out many of our favorite, chocolate. Chocolate and other types of candy may melt during transit. Many organizations discourage sending them.
2. Using flat rate shipping boxes from the USPS work great. They’re free to use, and shipping is often cheaper. Important to note: most organizations probably will not pay the cost of shipping, so do not use shipping expenses as part of your tax deduction.
3. Fill out and include the charity’s donor form(s) for each box you send, so you will be properly acknowledged by the IRS-approved charity. Remember, you’ll need that receipt for your tax records.
4. Check to be sure you are sending to the correct mailing address to avoid any delays or confusion.
5. Send the candy care package on its way! Be sure to follow up with the charity a few days after the package was sent to be sure they received your donation.
Taxbrain users can quickly and easily find and manage fair market values on over 100,000 items within their accounts using our tax deduction partner, Charity Deductions. Anyone using itemized deductions will find its seamless integration with Taxbrain easy to use and manage. Don’t settle for “garage sale” donation values. Find fair market values on your donated items, boost your tax refund, track your donations and even print detailed reports.
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