Charity Tax Benefits That You Need To Know
Two Charity Tax Benefits: Advanced Expansion by House Committees. (PHOTO: Missourinet)
Expanding Support for Food Pantries: HB 1730 Advances with Unanimous Approval
Two separate committees in the Missouri House have taken steps to advance bills supporting charity tax benefits programs.
House Bill 1730 (HB 1730) was approved by the Special Committee on Public Policy last week with a unanimous vote of 6-0. The purpose of this act is to raise the cap on a program that provides tax credits to people who donate food pantries. The program, which was introduced in 2013, permits taxpayers who support food pantries, soup kitchens, or homeless shelters to deduct half of their donation from state taxes; however, the maximum amount that may be deducted at this time is $1.75 million. The bill’s sponsor, Representative Phil Amato, emphasized that contributions had exceeded the current cap in previous years, penalizing donors. Amato has suggested changing the program’s expiration date from the end of 2026 to the end of 2030 and increasing the ceiling to $3 million yearly.
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HB 2384: Extension of Child Bank Support with Unanimous Committee Approval
Concurrently, last week, the Ways and Means Committee deliberated on a bill pertaining to the prolongation of a 2018 nappy bank tax credit. As of right now, taxpayers in Missouri are able to deduct up to $50,000 in state taxes from the amount they donate to diaper banks. Nevertheless, August 28 of this year is when this tax benefit is scheduled to expire. Representative Mark Sharp is the sponsor of House Bill 2384 (HB 2384), which aims to prolong the tax credit through August 2030. Sharp stressed the serious effects of diaper scarcity on families, including how it impairs infant health and makes it more difficult for parents to get creche and a job.
In a unanimous 9-0 vote, the committee advanced the legislation, recognizing the importance of sustaining access to diapers for families in need.
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