November 8, 2012 2:42 pm

IRS Okays Leave Program Donations for Hurricane Sandy Victims

Employees who can opt to donate their unused leave to organizations helping these victims will not be taxed on what would otherwise be taxable compensation. However, they cannot take a charitable contribution deduction for the donation. The employer will see that the donations are sent to IRS-approved charities.

Note: The last time the IRS granted this favorable tax treatment for donations of unused leave was in the aftermath of Hurricane Katrina.

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Tax Glossary

Tax home

The area of your principal place of business or employment. You must be away from your tax home on a business trip to deduct travel expenses.

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