Talk:Katrina Emergency Tax Relief Act of 2005
From TaxAlmanac
Regarding using a personal vehicle for charitable work changes. My understanding after looking at the law and congressional record is that this is only for assistance to organizations that are helping Katrina victims. The summary explanations are not very clear on this and may lead to some confusion. But this does apply to everyone in all states that wish to help organizations helping these victims. The proposal sets the mileage reimbursement rate for charitable contributions at 70 percent of the standard business mileage rate. This means that it is now 34 cents per mile instead of the normal 14 cents when helping such charities. This is a significant increase (143%)and incentive when the organization cannot pay for mileage. This helps everyone involved in the effort to get victims back on their feet. All tax preparers should begin thinking about how they will ask their clients to split out their charitable mileage this year, as there may be a lot more of it due to this provision and due to the hurricanes. Will organizations helping Rita victims be added to this provision? Sheldon 16:03, 30 Sep 2005 (CDT)