Below are the ways to make a donation (donations are tax deductible). Generally, you can only deduct charitable contributions if you itemize deductions on Schedule A (Form 1040), Itemized Deductions.Donations of certain household items and clothing are often tax deductible when you file your income tax return. We've created this stepbystep guide on everything you need to know about creating a donation receipt letter for tax purposes. Learn how to easily create your donation receipts and the best practices to follow in the year-end receipts to your donors. Submit the most recent copy of an IRS determination letter establishing exemption from certain federal taxes under an IRC 501(c) code. In many cases, charitable donations are tax-deductible. When you donate to a qualifying organization, you can deduct the amount from your taxable income.