Donors to Haiti May Benefit From New Tax Law

21
Jan

With rare bi-partisan support, a bill is being pushed through the House and Senate this week to make 2010 donations to Haiti deductible in 2009.  Those who have been donors to Haiti might find this advantageous.

Government official are working to make an additional tax deduction for donors to Haiti’s earthquake victims.  This wouldn’t be the first time that Congress has made charitable donation made in one year applicable to the prior year.  In 2004 after the tsunami in the Indian Ocean, Congress made donations for tsunami victims made in 2005 deductible in 2004.  This year Congress may do the same which could complicate IRS form approvals and delay some tax filings.

So far the bill has passed the House unanimously and the Senate has introduced their own similar version.  We will keep you posted as to the status of these bills and if and when these bill pass.  Until then, if you have made substantial donations to Haiti in the Month of January or February of 2010 you may want to postpone filing your 2009 return to make sure you receive this benefit.