Deadline Comes for Contributions to State’s Charitable Fund
August 27 is the last day New Yorkers can contribute to a charitable fund set up by the state as a way to get around a new federal cap on state and local tax deductions.
The fund was set up in the 2019 New York State Budget after the Federal Tax Law was changed, putting a $10,000 limit on deductions residents can take for their state and local taxes.
The money is earmarked for either education or health services and residents can get 85% back as a state tax credit.
The Internal Revenue Service has not actually ruled on whether or not the contributions to the state-established fund will qualify as "charitable donations."