On December 31, Lynette used her credit card to make a $500 contribution to the United Way, a qualified charitable organization.She will pay her credit card balance in January of the following year.If Lynette itemizes, she can deduct the $500 in the year she used the card.

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According to IRS rules, charitable contributions made by credit card are deductible in the year they are charged, not when the credit card bill is paid. Therefore, Lynette can deduct the $500 in the year she made the charge, even if she pays the credit card bill in the following year.

On December 31, Lynette Used Her Credit Card to Make