Comptroller Peter Franchot today announced that Marylanders can take advantage of new federal legislation, recently signed into law by President Obama, allowing taxpayers who give to Haitian relief efforts this year to claim the donation on their 2009 tax return.
Normally, donations made after Dec. 31, must be claimed on the following year’s tax return. Marylanders who take advantage of the new law will not have to add the donation back to their income when completing a Maryland tax return.
“I am proud to support President Obama’s efforts to encourage as many Americans as possible to donate to Haitian relief efforts,” Comptroller Franchot said. “Allowing people to claim the donation on this year’s tax return may be another way to stimulate contributions,” he added.
Under the new federal law, cash donations to charities for Haitian relief efforts made after January 11 and before March 1 of this year may be treated as if the contribution was made on December 31 of last year so the contribution can be deducted from a taxpayer’s 2009 income. Cash donations include contributions made by text message, check, credit card or debit card. It’s important to note that donations may be deducted on this year’s tax return or for next year but not on both year’s returns.
For more information on how the new tax break works, visit the IRS’s Web site at www.irs.gov, or the Comptroller’s Web site at www.marylandtaxes.com