Legislation creates one-time tax credit for living organ donors

LANSING, Mich., Sept. 26, 2024 — State Rep. Felicia Brabec’s (D-Pittsfield Township) legislation, House Bill 4361 passed in the House yesterday. The legislation would create a one-time tax credit to reimburse Michiganders for live organ donation expenses.

“There are thousands of people on dialysis in Michigan that could have their lives turned around with an organ donation,” Brabec said. “As a state representative, I’ve focused on legislation that will make it easier for individuals to register to become a donor, and alleviate the hurdles that people face with organ donation. This bill is no different — it reduces financial challenges that may come from their life-changing and life-saving donation.” 

The bill specifically focuses on live organ donation. Live organ donations are when a living individual donates one or more of their organs to another person, which is then transplanted through a medical procedure. The bill to reduce live organ donation expenses accumulated by the taxpayer is directly related to a live organ donation and does not qualify for reimbursement by another person. Non-reimbursable expenses include travel, lodging or lost wages related to the person’s donation process.

 In 2023, the nonprofit organization Gift of Life reported that over 1,800 people gave the gift of tissue last year, saving thousands of lives and healing tens of thousands more, and that there was a 25% increase in organ donors over the 2022 donation record.

“It is my goal to help make the organ donation process accessible and understandable. Donors are critical for the future of many lives. I am dedicated to uplifting the importance of that decision,” Brabec said. 

Brabec has sponsored a variety of organ donation-focused legislation. This year, she also introduced House Bill 5174 to add lessons about organ donations and tissue transplantations to Michigan public school curriculums. She also spearheaded the “Check Your Heart” bill package that became law in July. These bills help grow Michigan’s organ donor registry through several new mechanisms, such as adding the ability to opt into organ donation on your income tax return.