Bill gives tax credits for gifts to troops

Up to $1M proposed for state groups sending packages to GIs overseas

By DENNIS WELCH TRIBUNE

CONTACT WRITER:
(602) 542-5814 or dwelch@aztrib.com

   State lawmakers are pushing for a new law they hope will spur more residents and businesses to donate to U.S. troops stationed overseas.
   SB1456 would give up to $1 million in tax credits to authorized organizations donating to military personnel.
   Likewise, residents donating items to these charitable groups would be eligible for a $250 tax credit.
   Lawmakers are hoping the tax break would help offset shipping charges and entice more people to give. But the bill does not estimate how much it could potentially cost the state in tax revenue.
   Margy Burns, a spokeswoman for the Valley-based Packages from Home, said it costs her organization nearly $10,000 per month to mail packages to troops in Iraq and Afghanistan.
   “This is not a bill for people to get rich; this is a bill to get more people involved,” she said Monday.
   Although the organization has not seen a slump in donations to the military, Burns said donations did plateau after Hurricane Katrina.
   Packages from Home, which was started in March 2004, sends toiletries, books, DVDs and nonperishable foods to servicemen and -women.
   To be eligible for the credit, donors must give to organizations approved by the U.S. Department of Defense, said Sen. Dean Martin, R-Phoenix, who introduced the bill.
   However, donors would not be eligible for the credit if they contributed banned items such as alcohol, tobacco or pornography.
   The bill goes up for a full Senate vote this week. If approved, it will go to the House.