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Cake day: September 16th, 2023

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  • The problem is that in the US, most tax deductions are concurrent with the standard deduction. So even if (for example) you donate $10k to a charity, the fact that it’s tax deductible is meaningless unless your total deductions are more than $16,100 (or more if married or head of household). It’s yet another way that tax deductions favor the rich - past a certain tax bracket, it makes sense to donate to a charity (that you control) to lower your taxes; for random Joe Peasant, it’s completely pointless.