LANSING, Mich., Sept. 23, 2020 — The Michigan House of Representatives approved House Bills 6162 and 4993 yesterday, introduced by state Reps. Joe Tate (D-Detroit) and Ryan Berman (R-Commerce Township), respectively. These bills would amend the Income Tax Act to provide donors an income tax credit equal to 50 percent of the amount contributed to a food bank, food kitchen, homeless shelter or community foundation.

“We all know that charitable giving is a tenet of our state and our country, and while that can take many forms—none are more important than ensuring our neighbors have the food they need and a roof over their heads,” said Tate. “Reinstating an income tax credit for donations to these charities will encourage more people to donate and provide the resources they need to continue to lend a hand to those who need it most.”

The food bank, homeless shelter and community foundation tax credits were repealed in 2011 as part of Snyder-era legislation that sought to replace revenue lost due to corporate tax cuts. HBs 6162 and 4993 would reinstate this credit for tax years beginning on and after January 1, 2020. For a taxpayer other than a resident, estate or trust, the credit could not exceed $100, or $200 for a joint return.

After passing votes in the House by a wide margin, both bills now await a hearing in the Senate.


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