IRS Encourages Leave Donation Programs to Help Hurricane Victims
The Treasury Department and the Internal Revenue Service are offering special tax relief intended to encourage leave-based donation programs to aid victims who have suffered from the destruction caused by Hurricane Sandy.
Under these programs, employees may donate their vacation, sick, or personal leave in exchange for employer cash payments made to qualified tax-exempt organizations providing relief for the victims of Hurricane Sandy.
Employees can forgo leave in exchange for employer cash payments made before Jan. 1, 2014. Under this special relief, the donated leave will not be included in the income or wages of the employees. Employers will be permitted to deduct the amount of the cash payment. Details on this relief are in Notice 2012-69.
The IRS says it continues to monitor the situation and will provide additional relief related to Hurricane Sandy as needed.
EXPLORE BY CATEGORY
Stay Connected with CBIA News Digests
The latest news and information delivered directly to your inbox.