Obama signs H.R. 4462 making Haiti donations deductible on 2009 tax returns
All members of Congress came together late last week with both the House and Senate voting unanimously to approve legislation that will allow eligible taxpayers to claim a deduction on their 2009 income tax returns for contributions to earthquake relief efforts in Haiti, if those contributions are made on or after January 12, 2010 and no later than February 28, 2010.
H.R.4462 - To accelerate the income tax benefits for charitable cash contributions for the relief of victims of the earthquake in Haiti - was signed into law by President Obama on Friday evening, January 22,
Taxpayers should note that this legislation applies only to cash contributions and not to non-cash contributions such as food or clothing. Also, contributions to foreign organizations do not qualify for the deduction - only contributions to U.S. organizations count for the early deduction.
As with all tax-deductible contributions, documentation is required to substantiate the date and amount of the contribution. The legislation contains a provision which permits a telephone bill to be used as documentation of contributions made by text message. The American Red Cross has set up a service to accept donations by text message. Texting the word "Haiti" to 90999 initiates a $10 donation to the American Red Cross for Haiti relief.
You may like these other stories...
IRS audits less than 1 percent of big partnershipsAccording to an April 17 report from the Government Accountability Office (GAO), the IRS audits fewer than 1 percent of large business partnerships, Stephen Ohlemacher of the...
Legislation coming out of Washington just might reduce homeowners' burden for disaster insurance. It's a topic very much on everyone's minds since the mudslide in Oso, Washington. The loss of human life was...
Divorce is hard, and the IRS isn't going to make it any easier. The IRS generally says "no" to tax deductions that might ease the pain of divorce. In certain circumstances, however, you might be able to salvage...
Upcoming CPE Webinars
Is everyone at your organization meeting your client service expectations? Let client service expert, Kristen Rampe, CPA help you establish a reputation of top-tier service in every facet of your firm during this one hour webinar.
In this session Excel expert David Ringstrom, CPA introduces you to a powerful but underutilized macro feature in Excel.
This material focuses on the principles of accounting for non-profit organizations' revenues. It will include discussions of revenue recognition for cash and non-cash contributions as well as other revenues commonly received by non-profit organizations.
During the second session of a four-part series on Individual Leadership, the focus will be on time management- a critical success factor for effective leadership. Each person has 24 hours of time to spend each day; the key is making wise investments and knowing what investments yield the greatest return.