CARES Act tax incentives extended—with a boost

Two key provisions of the Coronavirus Aid, Relief, and Economic Security (CARES) Act were extended into 2021 (and, in one case, increased). Here’s what the this means for you in 2021.

Tax incentives when you give to charity

1. An expansion of the universal charitable deduction for cash gifts.
The universal charitable deduction has not only been extended but given an upgrade. The new deduction is $300 for single filers and $600 for married couples filing jointly. This is available to taxpayers who take the standard deduction. This tax incentive is available for cash gifts to UCHealth Northern Colorado Foundation.

2. An extension of the cap on deductions for cash contributions.
Contributions to public charities are generally limited to a percentage of a taxpayer’s adjusted gross income (AGI). The CARES Act lifted the cap on annual contributions for those who itemize, increasing it from 60% to 100% of AGI for 2020 (and now for 2021). Any excess contributions available can be carried over to the next five years. For corporations, the law raised the annual limit from 10% to 25% of taxable income for 2020 (and now 2021).

Let us help!

Contact Annette Geiselman at or 970.237.7404 to learn more about the renewed and expanded tax incentives for 2021.

This information was accurate at the time of posting. The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. References to tax rates include federal taxes only and are subject to change. State law may further affect your individual results.