It’s the season of giving, and legislation from state Rep. Ryan Berman will allow for more people to do just that while strengthening Michigan’s communities.

House Bill 4993 creates an income tax credit for donations to community foundations. The proposal, which is part of a bipartisan two-bill package, incentivizes taxpayers to contribute to worthy charitable causes such as homeless shelters, food banks and others.

“This is a great way – and a great time – to get people more involved with giving back to their communities,” said Berman, of Commerce Township. “Michigan will be stronger and people who are in need will be in better situations with this bill and a credit is fair for people who are investing their hard-earned money into helping other people.”

For an individual taxpayer, the credit cannot exceed $100. The limit rises to $200 for a joint return. HB 4993 also lays out stipulations for qualifying charities, defining a community foundation as an organization that has been in existence for at least 10 years, has assets of at least $1 million and supports a broad range of activities in the specific geographic area of the state that it serves.

Berman offered testimony on the plan before the House Tax Policy committee on Wednesday, Dec. 4. The proposal remains under consideration.

PHOTO INFORMATION: State Rep. Ryan Berman (left) listens to comments from Kyle Caldwell, executive director of the Council of Michigan Foundations, during testimony on HB 4993 before the House Tax Policy Committee on Wednesday, Dec. 4. The bill is part of a bipartisan plan allowing for an income tax credit for donations to community foundations.