In recent months, many individuals have been victims of the hurricanes and tropical storms. The aftermath leaves us wondering how I can help those victims.  One way is through leave-based donation programs.

Employers adopt leave-based donation programs for their employees to elect to forgo vacation, sick, or personal leave in exchange to have cash payments made to charitable organizations for the relief of victims affected by the hurricanes. The cash payments must be made before January 1, 2019. The IRS has announced that the leave employees elect to forgo to provide relief does not result in the constructive receipt of gross income or wages. Therefore, the leave-based donations that meet the IRS’s requirements are not reported as income. Since it’s not reported as income, the employees donating their leave may not deduct a charitable deduction for the value.

Leave-based donation programs provide a great opportunity for employees to donate to organizations that will provide relief of victims of the recent hurricanes.

Be sure to contact us to learn more about leave-based donation program for your business.