Do you know someone who has been affected by Hurricane Sandy? The IRS recently sent out a newsletter with important information for those affected. Here’s a summary:

Scam Warning
The IRS issued a scam alert to remind people that scammers often take advantage of natural disasters to impersonate charities to get money or private information from well-intentioned taxpayers. The IRS offers the following tips:

  • Donate only to recognized charities.
  • Be wary of charities with names that are similar to familiar or nationally known organizations. A list of legitimate charities can be found on the Federal Emergency Management Agency (FEMA) Web site at
  • Don’t give out personal financial information to anyone who solicits a contribution from you.
  • Don’t give or send cash.
  • Call the IRS toll-free disaster assistance telephone number, 1-866-562-5227, if you are a hurricane victim with specific questions about tax relief or disaster related tax issues.

Tax Relief Available
Victims of Hurricane Sandy in parts of Connecticut, New Jersey and New York may qualify for tax relief from the Internal Revenue Service.

The Treasury and the IRS Offer Support for Leave-Based Aid Programs
The Treasury Department and the Internal Revenue Service have announced special relief to support leave-based donation programs to aid victims of Hurricane Sandy.

The IRS Is Expediting Charity Review and Approval
The Internal Revenue Service has announced an expedited review and approval process for organizations seeking tax-exempt status in order to provide relief for victims of Hurricane Sandy.  The IRS also continues to encourage people to use existing organizations currently working on immediate aid efforts.

The Treasury and IRS Waive Housing Tax Rules to Victims
The IRS is waiving low-income housing tax credit rules that prohibit owners of low-income housing from providing housing to victims of Hurricane Sandy who do not qualify as low-income. The action will expand the availability of housing for disaster victims and their families.

The IRS Waives Tax Penalty for Dyed Diesel Fuel
Because of diesel fuel shortages, the IRS will not impose a tax penalty when dyed diesel fuel is sold for use or used on the highway.

Feel free to contact me if you have any questions about this information.