On January 6, 2020, Chris Moran was quoted in USAE News regarding special temporary treatment for disaster relief donations. According to the article, individual taxpayers may not claim a charitable deduction for a cash contribution to a Code Section 501(c)(3) public charity to the extent such contribution exceeds 60% of the individual’s adjusted gross income. Corporate taxpayers may not claim a deduction exceeding 10% of their taxable income.
The Taxpayer Certainty and Disaster Relief Act of 2019, signed into law late last year as part of a spending bill to fund the government through September 2020, suspends the 60% and 10% limitations for contributions made to public charities for disaster relief efforts.
"By its terms, the special treatment for disaster relief donations applies only to donations made in 2018 or 2019, and in the 60 days following the passage of the Taxpayer Certainty and Disaster Relief Tax Act of 2019," Moran told USAE. "That said, in previous years, Congress has passed legislation providing temporary special treatment for disaster relief donations, and might well do so again in future years."