Hait Relief Donations before March 2010 Deductible in 2009
Haiti Relief Donations before March 2010 – Deductible on 2009 Tax Returns.
Reinhart & Associates Supports the
Haiti Relief Effort
We joined a group of local businesses and individuals to support the relief effort in
Haiti. We will be supplying all of the accounting support for the organization HaitiReliefFundNY.org. You can make tax deductible donations at www.haitirelieffundny.org. There is also a huge need for noncash donations of various supplies. For a complete list of the supplies needed visit http://www.haitirelieffundny.org/?page_id=52.
Consider making a donation when you bring your tax return in to us for preparation. It is tax deductible.
New Law…
On Jan. 22, 2010, President Obama signed into law H.R. 4462, which allows people to claim a charitable contribution deduction on their 2009 tax return for donations made after Jan. 11, 2010 and before Mar. 1, 2010, for the relief of victims in areas affected by the Jan. 12, 2010 earthquake in
Haiti. This option is available only if the contribution is in cash and otherwise meets the requirements for charitable contribution deductions.
Here are a few things to note regarding this new law:
1. You can only take the deduction in 2009 if you itemize your deductions. Since you can elect to treat a deduction under this law as a deduction in either 2009 or 2010 you may want to discuss with your accountant which year the deduction will be more beneficial to you.
2. Keep your contribution records for these deduction in your 2009 tax file to prevent it from being deducted again in 2010!
3. If you make multiple gifts you could allocate some for 2009 and some for 2010,
4. Check to make sure your deduction will also be deductible in the state in which you live.
5. For the IRS website on this new law visit: http://www.irs.gov/newsroom/article/0,,id=218678,00.html
6. Keep in mind a check mailed and postmarked by March 1st 2010 will qualify for the 2009 deduction even though it may not be receive by the charity until after March 1st.
7. IRS does, however, advise taxpayers to be sure their contributions go to qualified charities. It notes that most organizations eligible to receive tax-deductible donations are listed in a searchable, online database available under “Search for Charities” ( http://www.irs.gov/charities/article/0,,id=96136,00.html ). But some organizations, such as churches or governments, may be qualified even though they're not listed on IRS's website. Also, the IRS website reminds donors that contributions to foreign organizations generally aren't deductible.
