Article Highlights:Charity Tax Exempt StatusGeneral Rules for Deducting Volunteer ExpensesAway-From-Home Travel ExpensesVehicle ExpensesEntertaining For CharityUniformsUse of a Capital AssetsConventionsUnderprivileged YouthsFoster ParentsChurch Deacon Substantiation RequirementsIf you volunteer your time for a charity, you may qualify for some tax breaks. Although no tax deduction is allowed for the value of services performed for a charity, there are deductions permitted for out-of-pocket costs incurred while performing the services.To claim a tax deduction for charity work, you must itemize your tax deductions using IRS Schedule A, and the charitable organization must have IRS tax-exempt status. Qualified organizations include nonprofit groups that are religious, charitable, educational, scientific, or literary in purpose, or that work to prevent cruelty to children or animals. You will find descriptions of these organizations under Organizations That Qualify To Receive Deductible Contributions.If you are unsure, you can double check if the organization is exempt by asking for a copy of the IRS letter showing their tax status.These general rules apply to tax deductions related to charitable volunteer services:You can’t assign a value to your time or services and deduct it on your tax return.Example: You volunteer 8 hours a week at the office of a qualified organization. An employee of the organization is paid $15 an hour for the same work. You CANNOT therefore deduct $120 as the value of your services.You can’t deduct expenses related to other’s volunteer expenses.You must itemize your deductions to benefit from any allowable deductions.The normal charity deduction limits and substantiation rules also apply.Although you can't deduct the value of your services given to a qualified organization, you may be able to deduct some amounts you pay in giving services to a qualified organization. The amounts must be:Unreimbursed.Directly connected with the services.Expenses you had only because of the services you gave, and thatAre not personal, living, or family expenses.Away-From-Home Travel Expenses – Eligible away-from-home travel expenses while performing services for a charity include out-of-pocket round-trip travel cost, taxi, and rideshare fares, and other costs of transportation between the airport or station and hotel, plus lodging and meals at 100%. These expenses are only deductible if there is no significant element of personal pleasure associated with the travel, or if your services for a charity do not involve lobbying activities.The deduction for travel expenses won't be denied simply because you enjoy providing services to the qualified organization. You are still entitled to a charitable contribution deduction for travel expenses if you are on duty in a real and significant sense throughout the trip. If the duties are insignificant or you don't have any duties, you won’t qualify to deduct your travel expenses.Example: You are a troop leader for a tax-exempt youth group, and you take the group on a camping trip. You are responsible for overseeing the setup of the camp and for providing adult supervision for other activities during the entire trip. You participate in the activities of the group and enjoy your time with them. You oversee the breaking of camp, and you transport the group home. You can deduct your travel expenses.Because travel expenses aren't business-related, they aren't subject to the same limits as business-related expenses. Thus, unlike business meals that are only allowed at 50% of the cost, charity-related meals are 100% deductible. Travel expenses include:Air, rail, and bus transportation.Out-of-pocket expenses for your car.Taxi and ride-share fares, or other costs of transportation between the airport or station and your hotel.Lodging costs, andThe cost of meals.The Tax Court has held that the cost of first-class accommodations are deductible if they are “reasonable” under the facts and circumstances, using criteria similar to those that would apply if the traveler were on a business trip.If the qualified organization provides a daily allowance to cover reasonable travel expenses, including meals and lodging, the charity volunteer must include in income any part of the allowance that is more than the deductible travel expenses. The volunteer may be able to deduct any necessary travel expenses that are more than the allowance.Vehicle Expenses - A charitable contribution can be claimed for unreimbursed out-of-pocket expenses, such as the cost of gas and oil, directly related to the use of a car in giving services to a charitable organization. However, general repair and maintenance expenses, depreciation, registration fees, or the costs of tires or insurance cannot be deducted.