I have been reading up on the charitable contribution rules for 2006, it seems that without a letter confirming the contribution IRS will not grant the contribution deduction.

What is your firms decision on allowing clients to write off for charity? Would you write off say $15 dollars a week for the church contribution resulting in approx $700 per year, and a couple hundred or two for various miscellaneous charities?

Also, say $450 for non-cash contribution, is that ok for 2006??

Dear Pinky,

This year most CPA's are going to shy away from making or recommending any deductions without receipts, plain and simple. The IRS has decided to strictly enforce this area of the law with substantial preparer penalties for potential abuse.

The non-cash might be reasonable assuming you have made the donations and you have received a copy of the contents donated from the charity.

But, please be aware IRS has hardened its position on charitable contribution in 2006.