Latest COVID Relief Bill Signed

Last night, President Trump signed the latest relief package attached to the Consolidated Appropriations Act to fund the federal government. The relief portion of the legislative package was estimated at approximately $900 billion and includes extended unemployment benefits for millions of people who lost jobs this year, as well as $600 one-time relief payments to most Americans. There are ongoing discussions and interest in increasing the amount of relief payments.

Of particular interest to gift planners were the extension and expansion of the charitable provisions from the CARES Act passed earlier this year.

The primary provisions extended affecting individuals making charitable gifts included the CARES Act benefits for the “above-the-line” deduction for nonitemizers, which was expanded to $600 for couples, and the waiver of the AGI limitation for cash contributions for 2021. Additionally, the law extends the increased deduction limit of 25% for corporate contributions of cash and food inventory.

These extensions should be good news for individuals and corporations that make charitable contributions in 2021.

By Barlow Mann

Posted in blog.

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