Living Organ Donor Tax Credit Act

Living Organ Donor Tax Credit Act would create a new tax credit designed to help individuals who donate life-saving organs to others. The bill adds a new Section 36C to the Internal Revenue Code, allowing a credit equal to the donor’s out-of-pocket costs related to the donation and transplantation process (including travel, lodging, medical expenses, paperwork, and lost wages) up to a $5,000 cap per taxable year. Eligible donors must be living, and the organ donation and subsequent transplant must occur in accordance with U.S. law. Reimbursed expenses are not counted toward the credit. The bill also makes related amendments to public health and organ transplant statutes to coordinate with federal living organ donation grants and to address how the credit is treated in relation to compensation rules. The credit would generally apply to tax years after enactment, with certain amendments taking effect on enactment.