Tax Law Changes for 2026
As the year draws to a close, the OMF team is sharing important updates that could impact your charitable giving next year. Major tax law changes take effect in 2026, and for many donors to OMF’s research, giving in 2025 will bring greater tax advantages than waiting.
Here’s a simple summary of what’s changing — and why now is the best time to give:
- New deduction floor: Starting in 2026, the first 0.5% of your income will not be tax-deductible for charitable gifts.
- Higher standard deduction: Fewer people will itemize their taxes, meaning many donors will no longer receive a tax benefit for giving.
- Charitable deduction cap: The maximum tax benefit for charitable gifts will be capped at 35%, even for those in the 37% tax bracket.
- Limited annual donor benefit: Non-itemizers will be able to deduct only up to $1,000 (individuals) or $2,000 (couples) for charitable giving—total across all charities.
- More seniors not itemizing: A higher senior deduction means fewer older donors will qualify for itemized charitable deductions.
Key takeaways:
- Gifts made before December 31, 2025, will qualify for the highest tax benefits.
- Asset-based gifts (such as stocks or IRA distributions) remain among the most tax-efficient ways to give.
At Open Medicine Foundation (OMF), your gift accelerates the search for effective treatments—and ultimately a cure—for ME/CFS, Long COVID, and related chronic, complex diseases.
If you’re planning a year-end gift, giving before December 31 ensures your generosity goes further—for you and for the hundreds of millions suffering and in search of hope.
With gratitude,
Team OMF
Donate your appreciated stock directly to OMF and you can receive an immediate income-tax deduction for the fair market value of the securities on the date of transfer (even if you originally paid much less for them).