May I declare a deduction for charity volunteer work? - Frequently Asked Questions
If you volunteer for a church or charity organization (does not apply to "non-profit" or "tax-exempt" organizations that are not allowed to accept tax-deductible donations), you may deduct your reasonable out-of-pocket expenses of that activity. This would include you car expenses (at 14 cents a mile, or the actual expense for gas and oil), supplies, uniforms, etc. You cannot take a deduction for your actual services, even if your time has a readily-determinable fair market value.
Example: Frank is an electrician who generally bills at $75 an hour. He did some work for his local church, which took ten hours of his time, plus two hours he paid to an assistant who makes $16 an hour, and $45 worth (at cost) of supplies and materials. Assuming he does not deduct them as business expenses, his costs for supplies and paying his help may be deducted as a charity donation, as can his mileage to and from the job. He cannot deduct anything for his time or personal labor.
Example: Beth does a newsletter for her church. She bought a new computer and printer, mostly to do the newsletter. The computer and printer is hers, and remains at her home. She cannot deduct the cost of this equipment, since she did not give the equipment "to" the church. She can deduct only her out-of-pocket costs for doing the newsletter, such as toner for the printer, paper, software with no other use other than the newsletter, mileage to and from the printers, etc.
If your out-of-pocket expenses in providing services to a charity income of $250, for a single instance or series of related instances, you will need a written acknowledgement from the charity in order to take the deduction. See the FAQ concerning the necessity for receipts.