On a vote of 257 to 166, the House on Friday passed The Renewable Energy and Job Creation Tax Act of 2008 (H.R. 7060) that would extend expired tax incentives, provide AMT relief, and promote energy exploration. However, House Democrats upheld a point of order that blocked Republicans from bringing up H.R. 6049, passed by the Senate on September 23. The disagreement involves the House bill providing complete offsets, which would almost certainly guarantee a Senate Republican filibuster and threatened White House veto. House Democratic leaders may adjourn without resolving a standoff.  MORE »

On a 93-2 vote, the Senate has passed an amended version of H.R. 6049, the Tax Extenders and Alternative Minimum Tax Relief Act of 2008. Core bill components include clean energy tax incentives, protection of millions of Americans from the alternative minimum tax (AMT), extensions of expiring family and business tax cuts, and charitable giving extenders and incentives.

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In the September 19, 2008 issue of Exempt Org Update: Tax Talk Today Webcast: Preparing for the New Form 990; Western Conference on Tax Exempt Organizations; New EO On-line Mini-Courses Now Available; Register Now for Fall Workshops for Small and Mid-Sized 501(c)(3) Organizations; Priority Guidance Plan Issued; IRS Releases Interim Report on 501(c)(3) Bonds Project; and Disaster Relief for Texas and Louisiana.  MORE »

The National Heritage Foundation has issued a press release in which it responds to a recent $9 million adverse jury award in a case involving a charitable split dollar plan and announces its plans to appeal the verdict.  MORE »

For purposes of determining the present value of an annuity, an interest for life or a term of years, or a remainder or a reversionary interest, Revenue Ruling 2008-49 indicates the applicable federal rate under section 7520 for October 2008 is 3.8%; down 0.4% from the September and August rates of 4.2%.  MORE »

Writing on behalf of the American Council on Gift Annuities (ACGA) and the National Committee on Planned Giving (NCPG), New York attorney Conrad Teitell expresses opposition to the proposed Charitable Lead Trust regulation that requires the payments to the charitable beneficiary to consist of different classes of income determined on a pro rata basis.  MORE »

After a disaster or in another emergency hardship situation, people may be interested in using a charitable organization to help victims. In its current Exempt Organization Update, the IRS reviews a number of resources to help them accomplish this goal.  MORE »

The Internal Revenue Service has published temporary Income Tax Regulations eliminating the advance ruling process for organizations seeking classification as "publicly supported" charities.

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The Internal Revenue Service has released instructions for filing the 2008 Form 990-EZ. The new form is mostly unchanged; however, it has been updated to include certain schedules from the new Form 990, which replace previously unstructured attachments.  MORE »

Congressman John Lewis, D-Ga. has introduced H.R. 6854 that would allow the Secretary of the Treasury to establish the standard mileage rate for use of a passenger automobile for purposes of the charitable contributions deduction and to exclude charitable mileage reimbursements from gross income.  MORE »

The McAllen, Texas law firm of Garcia & Martinez has issued a press release announcing a $9 million jury verdict against the National Heritage Foundation in the 404th District Court, Cameron County (Brownsville), Texas. According to the release, National Heritage Foundation changed the beneficiaries of three multi-million charitable split dollar life insurance policies from the donors' children to itself without the donors' knowledge or approval.  MORE »

The Service has ruled privately that a proposed conservation easement qualifies as a charitable contribution based on the protection of an environmental system and preservation of certain open space under section 170(h).  MORE »

The Internal Revenue Service and the Treasury Department have issued new regulations that will streamline the approval process for organizations seeking tax-exempt status as publicly supported charities.  MORE »

Gifts of life insurance policies to not-for-profit organizations can benefit both the organization and the donor, the latter in the form of an often sizeable income tax charitable deduction. However, under the requirements of the Pension Protection Act of 2006 (PPA),
determining the fair market value of policies requires the help of an appraiser with the appropriate expertise and experience. In this article from the Journal of Accountancy, appraiser Alan Breus, CLU, ChFC reviews current appraisal requirements and appraiser qualifications.  MORE »

The U.S. District Court has permanently enjoined several tax return preparers from preparing returns for compensation based on the court's finding the defendants understated the tax due (and overstated the refunds due) on customers' federal income tax returns by claiming false and inflated itemized deductions for charitable contributions and employee business expenses.  MORE »