The Tithing Protection Act proposes an amendment to section 5747.01 of the Revised Code, allowing personal income tax deductions for donations made to churches. This amendment aims to provide tax relief to individuals who contribute to religious organizations, thereby encouraging charitable giving within the community. The bill introduces a new provision that permits taxpayers who itemize deductions to deduct amounts contributed as charitable contributions to churches, as defined under section 170 of the Internal Revenue Code. This insertion is marked as (45) If the taxpayer has elected to itemize deductions under section 63 of the Internal Revenue Code for the taxable year, and to the extent not otherwise deducted or excluded in computing federal adjusted gross income for the taxable year, deduct amounts that the taxpayer deducts as a charitable contribution to a church or a convention or association of churches under section 170 of the Internal Revenue Code for the taxable year. In addition to the provisions related to church donations, the bill outlines various other deductions available to taxpayers, including those for veterans' bonuses, educational grants, and contributions to ABLE savings accounts. It also clarifies definitions for terms essential to understanding the scope of these deductions, such as "business income" and "nonbusiness income." Furthermore, the bill amends existing tax law regarding trusts, establishing new definitions and criteria for identifying different types of trusts and their taxable income. It aims to provide clarity and structure to the taxation of trusts while ensuring accurate reporting and taxation of income according to specified criteria. Overall, the Tithing Protection Act seeks to enhance financial support for religious institutions and provide broader tax relief to various groups within the community.

Statutes affected:
As Introduced: 5747.01