ACR in the News
For media requests contact Alison Hawkins, Director of External Affairs at ahawkins@philanthropyroundtable.org or at 202-822-8333.
Articles featuring the Alliance for Charitable Reform:
2/14/12
Charities Oppose Obama Plan on Limiting Charity Write-Offs-- Chronicle of Philanthropy
2/14/12
Barack Obama's budget plan could discourage charitable giving-- Deseret News
2/3/12
Only Charitable Deduction Preserved In New Buffet Rule Tax Proposal-- Bloomberg BNA
1/27/12Obama Blueprint May Signal Retreat from Limit on Charitable Deductions-- Bloomberg BNA
11/20/11 Charitable organizations struggle with how tax law changes will affect donations -- Washington Post
11/22/11 'Super Committee' Breakdown Could Hurt Nonprofits -- Chronicle of Philanthropy
11/19/11
Nonprofits worry they'll take a hit in debt-reduction proposals-- Palm Beach Daily
11/11/11
Charitable Deduction Not Discussed at Deficit Talks-- Chronicle of Philanthropy
11/4/11
Non-profits brace for impending strain on large gifts-- Rochester Business Journal
10/25/11
Obama Unites Country on Charitable Tax Donations-- The Fiscal Times
10/19/11
Video: Arts Leaders Take to Capitol Hill to Talk About Tax Breaks--Chronicle of Philanthropy
10/07/11
Charitable Deduction Cap Pulled From Bill-- Nonprofit Times
9/27/11
Nonprofits Lobby to Keep Charitable Deductions-- Nonprofit Times
9/15/11
Lukewarm Response for Jobs Bill Payment Plan -- Roll Call
9/13/11
Why Obama’s Jobs Bill Could Be Bad for Charity -- Wall Street Journal
9/12/11
Obama’s Jobs Bill Includes Plan to Limit Charitable Deductions for the Wealthy-- Chronicle of Philanthropy
8/2/11
Charitable Deduction Could Be Under Threat in Coming Deficit-Panel Talks-- Chronicle of Higher Education
8/1/11
Charitable Deduction Not Touched in Debt-Ceiling Deal-- Chronicle of Philanthropy
5/4/11
Key Senator Asks Whether Charity Tax Break Is Fair to All-- Chronicle of Philanthropy
12/7/10
Bill to Improve Government Support for Charities Faces a Tough Climb-- Chronicle of Philanthropy
By Heather Higgins
In every budget President Obama has sent to Congress, he has signaled to the American public that promoting private giving is not his priority: each year he has proposed a cut to the charitable deduction. He didn’t let us down this year, again choosing to devalue charitable giving by proposing to limit the charitable deduction.
In this year’s budget proposal, the president added a new twist to the narrative. He included his principles for tax reform in the budget. The “Buffett rule” was one of those principles, which would set a minimum tax of 30% and eliminate all deductions on anyone making $1 million or more, although under the Buffett Rule, the charitable deduction would be the only deduction preserved. The president is sending mixed messages to the charitable community. On one hand, he wants to scale back the charitable deduction for anybody making over $250,000, but on the other hand, he emphasizes its importance by leaving it as the only deduction for those subject to the Buffet rule.
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BNA
Key Development: Proposes 28 percent limit on charitable deductions for the wealthiest Americans.
Potential Impact: Maintains the status quo on deductions rather than providing a special rule for charities.
Next Steps: Obama’s budget faces tough scrutiny as Congress forges a compromise plan for FY 2013.
President’s Obama’s fiscal year 2013 budget proposed a 28 percent limitation on itemized deductions for the wealthiest Americans—including the charitable deduction.
Charities had hoped the budget, released Feb. 13, would continue to single out the charitable deduction as the only deduction not to be capped at 28 percent (17 DTR G-4, 1/27/12).
Instead, the budget would reduce the value of itemized deductions and other tax preferences to 28 percent for families with incomes of more than $250,000, and individuals making more than $200,000.
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By Rep Robin Hayes
Published by The Hill newspaper
For the last 3 years, we have been able to rely on President Obama for a few things in his budget proposals. Obviously increased spending comes to mind, but something else has been particularly disturbing: his attack on philanthropy and charities.
While there is hope the president has heard the voices of the charitable community, he needs to be clear about his plans and there are three reasons why…
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BNA
By Diane Freda
The charitable contribution deduction is the only deduction that would be allowed under the Buffett rule tax proposed by Sen. Sheldon Whitehouse (D-R.I.), in legislation that would ensure that millionaires pay a minimum effective 30 percent tax rate, charitable sources told Bloomberg BNA Feb. 2.
“The legislation builds on what the president’s blueprint stated, which was that the administration is going to impose the [Buffett rule tax] on individuals with certain high incomes, but is going to hold harmless their contributions to charity,” Sandra Swirski, executive director of the Alliance for Charitable Reform, said.
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Bloomberg BNA
This morning BNA reported that the Administration may be stepping back from previous proposals to cap charitable deductions at 28 percent.
Here’s an excerpt from the article:
“The past three budgets the president has submitted have included a limit to the charitable deduction in every single one of them, through limiting itemized deductions,” said Sandra Swirski, director of Alliance for Charitable Reform. “He’s also raised limiting the charitable deduction as a pay-for in at least two of his bills, one on health care, the other a jobs bill. So it keeps coming up.”
However, Swirski said she is now “cautiously optimistic” that when the president’s budget is revealed Feb. 13, Obama’s “stepping away” from the proposal will be clear….
Read the full article here
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Washington Post, November 20, 2011
The Washington Post reports on the potential impact on nonprofits of the Super Committee’s recommendations to reduce the national deficit.
Here’s an excerpt:
“Some Washington area nonprofits and foundations expressed concerns that potential reductions in the charitable tax deduction, under consideration by Congress’s deficit-reduction supercommittee last week, would have a chilling effect on contributions…
Sandra Swirski, executive director of the Alliance for Charitable Reform, said she would be surprised to see the charitable tax code targeted.
‘It would be hard to decide that the charitable deduction is ripe for reform, and that scaling back or limiting it is the way to close the deficit.’ “
Further Reading
Chronicle of Philanthropy, November 11, 2011
The Chronicle of Philanthropy reports that Republican members of the deficit reduction committee are contemplating limits to tax deductions.
The articles notes:
“Republicans have said previously that they are against raising taxes of any kind, including placing new limits on how much wealthy people can deduct by making charitable gifts. As pressure mounts to strike a deal, however, Republican leaders could be softening their stance on some tax increases.”
The article also refers to ACR’s update concerning this development.
Further Reading
In this week’s Conference Notebook Ian Wilhelm, senior writer for The Chronicle of Philanthropy, reports on a number of major sessions at this year’s Annual Meeting.
Wilhelm captured some of the most notable moments from this year’s meeting, including learning how to go from good to great grantmakers by Jim Collins and the heated debate between Diana Aviv (Independent Sector) and Father Robert Sirico (Acton Institute for the Study of Religion and Liberty) over the dependence of charities on government dollars.
Sue Santa guest blogs on the U.S. Chamber of Commerce’s Business and Civic Leaders website about a recent study on the economic impact of changes to tax incentives for different types of charities.
Further Reading
ACR prepares for a busy fall on The Hill
Sandra Swirski sits down with Philanthropy This Week, of the The Chronicle of Philanthropy, for an interview on the future of the charitable deduction and other tax changes that impact the charitable community in light of health policies currently in debate.
Episode 7: Update from Washington: The Charitable Deduction and the Social Innovation Fund
Further Reading
