Tax Advisor - Congress Passes Bill to Allow 2009 Deduction for 2010 Haiti Relief Charitable Donations
Acting quickly, both the House of Representatives and the Senate passed a bill that will allow taxpayers to write off charitable donations to Haiti earthquake relief efforts when they file their 2009 taxes this spring.
The Senate passed the bill on a voice vote Thursday afternoon, sending it to President Barack Obama for his expected signature.
Under current law, donors would have to wait until they file their 2010 returns next year to take the deductions. The bill would allow donations made by the end of February to be deducted from 2009 returns.
The Haiti bill is projected to encourage enough donations to reduce tax payments by a total of $2 million, according to an analysis by the nonpartisan Joint Committee on Taxation.
The tax bill also makes it easier for people who use mobile phones to make donations to document their gifts. Donors would be able to use their phone bills, as long as the bills list the name of the charity and the date and amount of the contribution.
For more information, contact:
Cindy Mitchell, CPA
Senior Tax Manager
Email
330.762.9785