Take a 2009 Tax Deduction for Haiti Relief Donations
Taxpayers who make cash contributions to charitable organizations providing earthquake relief in Haiti may deduct the donation on their 2009 tax return rather than waiting until the 2010 return. This quick action by Congress means taxpayers can receive an immediate tax benefit and thus encourages them to donate now.
Here are the requirements:
- Monetary contributions must be made after January 11, 2010, and before March 1, 2010.
- Donations may be made by text message, check, credit card, or debit card.
- Gifts of food and clothing do not qualify for the 2009 deduction.
- Taxpayers may elect to deduct these contributions on their 2009 or 2010 returns, but not both.
- Contributions must be to a qualified charity; donations made to foreign organizations are generally not deductible.
The general rules regarding tax deductions for charitable contributions apply. For donations by text message, a telephone bill will meet this requirement if it shows the charity name, date, and amount of the contribution.
How we can help
“If you already submitted your 2009 tax return organizer to our firm but have made 2010 Haiti relief contributions, let your LarsonAllen contact know if you would like those contributions included in your 2009 return,” says Sue Grupe, tax manager with LarsonAllen.
For more information, contact Sue Grupe at sgrupe@larsonallen.com or 612-376-4647, or a tax principal in your region. Read the IRS release.