The 2016 U.S. presidential election is literally weeks away. Perhaps you made a financial contribution to one of the many candidates’ campaign funds this year as a way of showing support. If you’ve asked yourself whether your monetary donation can be written off as a tax deduction on your return, the IRS stands firm on this issue.
IRS Rules On Deducting Political Campaign Contributions
Because the IRS does not view political campaign funds as charitable organizations like non-profits that raise money for disadvantaged youth or for medical research, you cannot write off the financial contributions you make to your favorite candidate’s campaign fund. This includes donating to a campaign committee, a newsletter fund, or a Political Action Committee (PAC). If you place an ad in a convention publication or buy a ticket to attend a dinner benefiting either a political candidate or political party, you’re also out of luck when it comes to being able to deduct these costs.
Limitations On Political Campaign Contributions
According to the Federal Election Commission, there are certain limitations on how much you can actually contribute to political campaigns.
Individual supporters are allowed to give:
- A maximum of $2,700 per candidate during the election season
- A maximum of $10,000 to state, district, and local political parties in total per year
- A maximum of $100,200 each year to a national political party per account
- Up to $5,000 per year to Political Action Committees (PACs) focused on specific issues within an election
The Bottom Line On Political Campaign Contributions
While Uncle Sam won’t let you write off your political campaign contributions, you should always keep track of these figures for your own personal financial responsibility. Most Americans probably don’t give a significant amount of money to candidates in any election season. But like all personal contributions you make to any individual or organization, be sure you know how much you’re giving so you can budget for these costs over time.
Learn about all of the expenses you can deduct on your income tax return by teaming up with the accounting pros at 1-800Accountant. Call 1-800-222-6868 or click over to www.1-800Accountant.