Haiti Earthquake Relief Donations before March 2010 May Be Deductible on 2009 return

On January 22, President Obama signed into law H.R. 4462 (the Act, P.L. 111-126), which allows taxpayers to claim a charitable contribution deduction in tax year 2009 for donations made through March 1, 2010, for the relief of victims in areas affected by the January 12, 2010 earthquake in Haiti.  This option is available only if the contribution is in cash and otherwise meets the requirements for charitable contributions under Code Sec. 170.

Anyone who is contemplating making a contribution to help victims of the earthquake in Haiti should consider doing so before March 1, 2010.  If you are an individual who itemizes, you will then be in a position to deduct the contribution in either 2009 or 2010, whichever produces greater tax savings.