Larry recorded the following donations this year: $500 cash to a family in need
$2,400 to a church
$500 cash to a political campaign
To the Salvation Army household items that originally cost $1,200 but are worth $300.
What is Larry's maximum allowable charitable contribution if his AGI is $60,000?

Question

Quizplus · Accepted Answer

Larry's maximum charitable contribution is calculated by taking 60% of his AGI ($60,000 x 60% = $36,000) and limiting it by the type and amount of contributions he made. 
$500 cash donation to a family in need is not deductible.
$2,400 donation to a church is fully deductible.
$500 cash donation to a political campaign is not deductible.
Household items donated to the Salvation Army originally cost $1,200 and are worth $300, so the maximum deductible amount for this donation is $300.
So, Larry's maximum deductible charitable contribution is $2,700 ($2,400 + $300).

Larry Recorded the Following Donations This Year: $500 Cash to a Family