Gov. Matt Blunt signs new tax credit for food pantries

JEFFERSON CITY, Mo. -- Donors to food pantries could save more money on their state income taxes next year under legislation signed Tuesday by Gov. Matt Blunt.

Donors to not-for-profit food pantries already can claim their contributions when calculating deductions on their federal and state income taxes. But tax credits sometimes provide a larger tax break because they are a direct reduction on the taxes due.

The law lets people or businesses who donate food or money to food pantries claim a tax credit of half the value of the donation, up to $2,500 a year. That means someone who donates $100 of food could receive a $50 tax credit, but a $10,000 donation would result in a $2,500 credit.

The total state tax credits would be capped at $2 million annually, and if claims are higher than that, the donors could receive a prorated amount.

The intent of the sweetened tax breaks is to encourage more people to give to organizations that help feed the poor.

House Speaker Rod Jetton, R-Marble Hill, said his legislation may seem like something small.

"But if there's a little old widow lady somewhere in Missouri who's able to get more to eat and is able to make it through her day just a little bit better than she did the day before, then it will all be worth it in my eyes," Jetton said at a bill signing ceremony with Blunt.

Blunt described the bill as a "compassionate investment" made possible by "an aggressive pro-growth, pro-jobs agenda" he has supported.