January 7, 2005
New Law Allows Tsunami Contributions to be Deducted on 2004 Tax Returns
The House and Senate yesterday passed by unanimous consent legislation (H.R. 241) to permit taxpayers to claim charitable deductions in tax year 2004 for donations they make for tsunami disaster relief until January 31, 2005, instead of having to wait until next year's filing season. Only cash gifts made specifically for disaster relief are eligible.
Here is the text of H.R. 241:
SECTION 1. ACCELERATION OF INCOME TAX BENEFITS FOR CHARITABLE CASH CONTRIBUTIONS FOR RELIEF OF INDIAN OCEAN TSUNAMI VICTIMS.
(a) IN GENERAL- For purposes of section 170 of the Internal Revenue Code of 1986, a taxpayer may treat any contribution described in subsection (b) made in January 2005 as if such contribution was made on December 31, 2004, and not in January 2005.
(b) CONTRIBUTION DESCRIBED- A contribution is described in this subsection if such contribution is a cash contribution made for the relief of victims in areas affected by the December 26, 2004, Indian Ocean tsunami for which a charitable contribution deduction is allowable under section 170 of the Internal Revenue Code of 1986.
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» http://WWW.JESSICASWELL.COM/MT/archives/001807.html from Jessica's Well
From TaxProf: Good news for those who have or will donate to the various Asian Tsunami relief funds:"The House and Senate yesterday passed by unanimous consent legislation (H.R. 241) to permit taxpayers to claim charitable deductions in tax year 2004... [Read More]
Tracked on Jan 7, 2005 10:56:07 AM
» January Giving from Midwestern Mugwump (mw)2
TaxProf notes that Charles Grassley of Iowa has introduced a bill that will allow gifts to the tsunami aid effort made in January to be deductible on 2004 tax returns. [Read More]
Tracked on Jan 7, 2005 12:38:34 PM
Tracked on Jan 8, 2005 11:32:20 PM
» Tsunami roundup from nmj3e
I am very pleased that Congress passed the Tsunami Donation 2004 Write-Off rule. I believe this is morally right. I am sure there are people out there that take askance at that, that an intrusion of mere fiduciary motives should not be a motivating forc [Read More]
Tracked on Jan 10, 2005 12:20:40 PM
Does this type of legislation need the President's signature or is this valid already?
Posted by: MadMan | Jan 7, 2005 10:05:10 AM
Does "cash" include credit cards?
Posted by: beachrat | Jan 7, 2005 11:10:02 AM
The legislation provides a savings of FIFTY CENTS for every $100 contributed. Big deal. See http://mauledagain.blogspot.com/2005_01_01_mauledagain_archive.html#110511214078152373
Posted by: Jim Maule | Jan 12, 2005 11:39:32 PM