HB 5896 Summary

• Allows qualified taxpayers to claim a tax credit equal to 15% of the value of edible agricultural products donated to hunger-relief charitable organizations, capped at $3,000 per year, effective for tax years beginning January 1, 2017.

• Defines "qualified taxpayer" as a farmer who files a Schedule F with their federal Form 1040 for the same tax year in which the credit is claimed.

• Permits taxpayers to value donated products either by reference to comparable prior sales prices or, if no prior sale exists, by fair market value using average weekly regional produce auction prices or USDA prices for meat, fish, and dairy.

• Requires hunger-relief charitable organizations to provide donors with a signed statement documenting the product type, quantity, donor information, and estimated value on a department-prescribed form.

• Credits cannot exceed the taxpayer's tax liability for the year and excess credits are not refundable.