Charity carryover.

[Got2csun]

Have a client with lots of charity carryover from 2009 but they do not "need" to use any of the carryover in 2010 due to income and other Sch A deductions. They have zero taxable income with exemption deduction. Do they have to use the 50% AGI amount? Thanks John

[FEDUKE404]

Each year on its own

Have a client with lots of charity carryover from 2009 but they do not "need" to use any of the carryover in 2010 due to income and other Sch A deductions. They have zero taxable income with exemption deduction. Do they have to use the 50% AGI amount? Thanks John

My understanding is it is a "use it or lose it" scenario unless valid current-year available donations are disallowed because of the (usually) 50% rules.

Most good software will track everything for you, including the prior year carryover into the current year, and beyond.

But you can't just store up a deduction for future use.....

FE

[Davc]

Yes............