Did You Know You Can Get a Tax Break for Donating Household Items?

Your big cleanup project is almost complete, which means you have some household items you no longer want or need. They're in decent shape, and you’d hate to throw them away.

But what do you do now? You could host a garage sale or list things online, but that means cleaning, pricing, and selling. If that seems like too much work for you, consider donating instead. Your items will find a new use in someone else's home, and you'll get a financial benefit because your donation is tax-deductible.

Donating Household Items

Whether you donate to ReStore or another organization, here's what you need to know about donating gently-used household items for resale.

Donate to an organization approved by the IRS. You may not know that you can't donate household items to just any resale organization for a tax break. If you want a tax deduction, the organization must be approved by the IRS to receive tax-deductible charitable contributions. The agency makes it easy to check with its online list. Charity Navigator is also a great resource.

Check valuation tools. If you're truly unsure how to assess the value of an item, don't guess. Consumer Reports has done the legwork for you by testing three tax software programs: H & R Block, TaxAct, and TurboTax. The editors judged TaxAct to be the most favorable to contributors.

Set values on the low side. Try to view each household item through the filter of a buyer inspecting it at a thrift store. What would they be willing to pay? Consider the quality, age, and usefulness of an item. Err on the low side rather than the high side.

Keep your donation receipts. The organization should give you a receipt for your donated items. The receipt should include your name, the organization's name, the date, and a description of the donation. If the value of your donation is $500 or less, this receipt alone is all you need. For donations over $500, you must fill out and attach IRS Form 8283. Retain all documentation, just in case you are audited by the IRS.

Benefits of Choosing ReStore

You'll walk away with far more than a receipt when you donate to Twin Cities Habitat for Humanity ReStore. Besides the tax deduction, you'll also help good, reusable items find new homes. In 2024 alone, ReStore kept nearly six million pounds of reusable items out of landfills! Plus, 100% of the proceeds from your donation support Twin Cities Habitat's mission to bring people together to create, preserve, and promote affordable homeownership and advance racial equity in housing. Each year, revenue from our stores helped build five new Habitat homes.

ReStore accepts household items such as appliances, building materials, doors, flooring, furniture, hardware, kitchen cabinets, plumbing products, and windows. Check our Donation Guidelines for a complete list of accepted items.

You can drop off items at any of our store locations. Or, ReStore can pick up your donation!

We hope you’ll choose ReStore as your preferred donation spot for gently used household items. Our team would love to help put your items to good use.