Tax Tips

Count Your Deductions

Do you itemize on your federal income tax? Contributions to Olde Towne Dinner Theatre's Building Fund are deductible to the full extent allowed by law. Now's a good time to make a contribution. The year is waning and you'll be counting up your deductions before you know it. No matter how much you give, the theatre is grateful for your contribution. When you itemize, the only limit is that your charitable contributions cannot exceed 50 percent (half) of your adjusted gross income.

Give a Gift; Skip the Taxes

Did you know that Uncle Sam takes a share when you sell stock? If the value has increased substantially and you’ve had the stock for more than a year, you would end up paying capital gains taxes when you sell. We’ve got an alternative in mind. Give your stock away. The long-term capital gains tax rate for appreciated stock is around 15 percent on your profit. Sell it yourself, and you’ll still have to pay the tax, even if you give the proceeds away. But if you give the stock itself to Olde Towne Dinner Theatre, you can claim a charitable deduction for the full value of the stock at the time of donation and avoid paying capital gains taxes, too.

Please remember Olde Towne Dinner Theatre in your financial planning.