The charitable deduction from income taxes has provided wide-ranging benefits for American communities for nearly 100 years.
To sustain these benefits, an extraordinary coalition has come together to protect the charitable deduction from proposals by political leaders that would diminish charitable giving. The Philanthropy Roundtable and our legislative arm, the Alliance for Charitable Reform, are honored to be active members of this coalition.
In September, this coalition sent a letter to Senate Finance Committee Chairman Max Baucus expressing strong opposition to President Obama’s proposal to cap the charitable deduction: “Proposals to cap itemized deductions at 28 percent would have long-lasting negative consequences for the charitable organizations that millions of Americans rely on for vital programs and services.”
What is remarkable about this coalition is the broad range of charities it represents. The diversity of signatories for the letter to Sen. Baucus illustrates dramatically how vitally important the charitable deduction is to nonprofit organizations throughout America. Here are just some of the signers:
The Philanthropy Roundtable is also honored that our sister organizations, the Council on Foundations and Independent Sector, are active participants in this coalition. The Roundtable, the Council, and Independent Sector don’t always agree on issues, but we are united in our support for the charitable deduction.
Ultimately, a vibrant private sector generates the wealth that makes philanthropy possible. There is a grave immediate danger that calls for higher taxes combined with diminished charitable incentives will lead to fewer resources for the private sector and for charitable giving overall.
Adam Meyerson is president of The Philanthropy Roundtable
