World

Congress: Haiti Donations Tax Deductible for 2009 Tax Returns

by Scott Wu | January 20, 2010 at 11:06 am

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UPDATE: The Senate unanimously passed a bill to allow Haiti donations to be tax deductible for 2009 tax returns.

The House passed a bill today allowing taxpayers to have their Haiti earthquake donations deducted in 2009 instead of 2010. Haiti donations made before the end of February can be deducted from 2009 returns. The bill was passed without opposition in the House, and the Senate is expected to vote on it soon.

A similar law was passed in 2005 in response to the 2004 Indian Ocean earthquake that caused a series of devastating tsunamis. The tsunamis killed nearly 230,000 people in 14 countries.

A magnitude 7.0 earthquake hit Haiti on Tuesday, January 12, 2010, and followed by strong aftershocks. The death toll estimates increased from around 45,000 to 200,000 in 6 days. Haiti is desperately in need of international support to help the country recover from the ruins.

Under current law, donors would have to wait until they file their 2010 returns next year to take the deductions. The bill would allow donations made by the end of February to be deducted from 2009 returns.

The bill passed the on a voice vote Wednesday, with no opposition. The Senate is expected to vote on the measure soon.