Question

1. Maria Gonzalez lives in San Diego, CA. Over a decade ago, Maria’s family emigrated from the Jalisco region of Mexico (a small town known as Etzatlan) to the U.S. and obtained U.S. citizenship shortly thereafter. During the current tax year, brush fires ravaged large parts of Jalisco. Although Maria had no close relatives left in the region, her family history stimulated her generosity and she made a $3,000 cash contribution to the Association Comunitaria De Autosuficiencia A.c., a registered Mexican charity that helps farmers engage in more sustainable techniques (the fires were attributed in part to farmers burning their fields). She found the charity after reading an internet news item on fires. The funds were used to provide immediate food, shelter, and clothing to fire victims and to develop communications to discourage field burning as a farming technique. Maria generated adjusted gross income of $60,000 in the current year. Is Maria’s charitable contribution deductible for income tax purposes?

Answer 1

Charitable contribution is allowed as deduction if its given to Trust , churches , synagogues and other religious organnization which are registered under state , federal and local goverments and working solely for public purposes

Donation given to non profit schoolls ,  hospitals , war veterans are also allowed .

As per federal tax rules some foreign orginazation like canadian , israeil and mexican charities are also allowed for deduction.

If charity is done in cash then 60% of adjusted gross income  deduction is allowed as per rules

Maria gonzalez is emigrant from mexico and now is us citizen and no source of ralatives in mexico nor generation any income from mexico , as she has done $ 3000 of charity to mexico asscoiation who works for public well being by providing food shelter and clothing , but as per federal tax rules charity done to mexico is allowed only when person is generating income from other source from mexico , and in this case Maria Gonzalex ihas no relatives nor any income coming from mexico so she will not be allowed a casd deduction of $ 3000

$3000 will not be considered as charitable itemized deduction , and maria adjustable gross income will remain same $60000