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Tag ‘ charitable giving ’

Senate Must Include “America Gives More Act” in Tax Legislation

Originally posted in the Vacaville Reporter: The United States Senate has the opportunity to provide a powerful boost to charitable organizations working to improve lives and strengthen communities all across the country. In July 2014 the House of Representatives approved the America Gives More Act, landmark legislation that would make three major charitable giving incentives (including donations of food inventory) permanent and reliable for donors of both food and funds.

Here is why the legislation is so important to our Food Bank and our community:  the America Gives More Act would help the farmers, restaurants, retailers, and food manufacturers we work with donate more excess food to those in need. Up until now, the charitable giving provisions in the tax code have been repeatedly extended on a short-term, often erratic basis that limits their impact, as donors cannot consistently rely on the certainty of receiving tax benefits for their generous donations. This is certainly true for small businesses that are relying on the food donation tax deduction to provide a needed incentive to help them establish a regular donation program with food banks. The uncertainty they face with the tax code has a tremendous impact on the amount of food we can bring in to the Food Bank, and in turn, get out to those in need.

In addition, the America Gives Back Act has much needed expansions of the food donation deduction that would allow farmers and ranchers to take the same tax deduction when donating food – a much needed improvement.  Our Food Bank is now distributing 10 million pounds of fresh produce every year – and we anticipate this legislation would help us increase that amount.

The impact of the America Gives More Act on our mission—and those we serve—would be significant. With over 70 billion pounds of wholesome excess food wasted each year, we have a critical opportunity to give food banks and food donors a powerful tool to donate more food.

The U.S. Senate now has the opportunity to include the America Gives More Act in tax legislation that’s expected to be voted on after the election. Doing so would have a significant and positive impact on millions of individuals and families in every community who benefit from the programs and services provided by charitable organizations across the country. To contact your senator and ask them to support this legislation, call the US Capitol Switchboard at (202) 224-3121.

Charity Could Tumble Over Fiscal Cliff

Originally posted in the Vacaville Reporter: The Food Bank of Contra Costa and Solano receives nearly half of its funding from individuals. We live in a generous community where people support the cost-effective work we do.

 The Food Bank is concerned that one of the options discussed in the “fiscal cliff” negotiations has been to limit the tax deductions people can take when they donate to nonprofit organizations such as the Food Bank. Donating to faith communities and nonprofit organizations is part of our social culture, but I worry that the support people provide will be limited if the tax deduction changes.

 As an example of the changes being debated, the recently passed compromise bill enacted Congress by restored a deduction that allowed those over 70 1/2 years old to donate IRA funds they must withdraw. The restored law says that if a donation of more than $100,000 is made directly to a nonprofit organization before Feb. 1, the roll-over is tax-deductible. After that, this option will not be available, so the tax-deductible motivation will be gone.

 Other options under consideration have focused on limiting the total amount of deductible donations people can give or limiting the amount people can deduct based on their income. I understand the budget issues our country faces, but anything that discourages people from giving to charitable organizations raises concerns.

 Nonprofit organizations do incredible work with limited funds. Faith communities and nonprofits are able to respond to concerns in local communities with speed and focus. We are able to carry out the work donors want to see done because we can directly respond to those who give us the funds we need. The issues we are facing today make collaboration between nonprofits and government necessary. This is not the time to limit the ability of the community to support organizations addressing the issues they see in the community.

To learn more about how you can help take action against these changes, contact Lisa Sherrill at the Food Bank: (925) 676-7543 ext. 206 or e-maillsherrill@foodbankccs.org.