Do you had any guidance related to the usage of charitable contribution carryovers in 2020 with the new 100% cash contribution deduction.
If a taxpayer that has a large 30% contribution carryover to 2020 because they donated property in 2019 to a 50% charity and they are also interested in making a large cash contribution in 2020, can they contribute cash contributions of 70% of their AGI and still deduct their carryover up to 30% of their AGI?
According to the IRS publication 526, the amount of carryover that you can use appears to be limited to 50% of AGI. So for example if taxpayer had $100k of income, they could use $30k of the contribution carryover and $20k of cash contribution. Any additional cash contribution would reduce the usage of the 30% contribution carryover.
However in 2020, could a taxpayer make a $70k cash contribution and still use up $30k of the contribution carryover? We want the taxpayer to use up as much of the 30% carryover since the 5 year clock is ticking