You pull up to Goodwill to drop off three bags full of old baby clothes, an old recliner and a set of silverware. The attendant asks if you want a receipt. You know you need a receipt if you want to deduct these non-cash charitable donations from your taxable income, but do you have any idea what three bags of baby clothes are worth? Rather than miss out on a deduction, download the iDonatedIt app and let your smartphone do its smart thing.
iDonatedIt costs $2.99 for both the iPhone and Android phones, but it's well worth the sticker price. Enter your donated items, answer a few questions about their age and condition, and the app will calculate a fair market value. You can even snap a picture of the item to save with your digital receipt. When tax day rolls around, you don't have to dig through your receipt shoebox to total up your charitable contributions. You can just scroll through the iDonatedIt app and relive memories of generosities past.
Charitable donations to approved organizations are 100 percent deductible from your taxable income. That includes most religious organizations and other tax-exempt institutions. If you are unsure of the status of a particular organization, you can use the searchable IRS Exempt Organizations Select Check to double check.