With President Donald Trump’s signing of the One Big Beautiful Bill Act (H.R. 1), Congress delivered a major win for economic opportunity and charitable giving. The final package passed after the U.S. Senate made key changes to encourage Americans to generously support the causes they care about, including expanding incentives for charitable giving and protecting the private charitable dollars that support our nation’s communities.
“The One Big Beautiful Bill keeps more money where it belongs — in the hands of hardworking Americans and the communities they care about,” said Philanthropy Roundtable’s CEO Christie Herrera. “By unleashing economic growth, President Trump is strengthening the engine of generosity, which empowers local, private solutions to challenges that our government cannot and should not provide.”
Passage of this pro-growth, pro-giving tax package was not without obstacles. The original House version included a harmful provision that would have increased taxes on private foundations by as much as 600%. Thanks to the efforts of Sens. Todd Young (R-IN), James Lankford (R-OK) and John Curtis (R-UT), that provision was removed during Senate negotiations. Their thoughtful leadership helped safeguard nearly 2,900 philanthropic organizations and their donors, who fund vital work in communities nationwide from local nonprofits and churches to educational and civic institutions.
Throughout the process, the Roundtable educated policymakers about the harm this tax hike would cause to charities and the Americans who rely on them. By redirecting philanthropic dollars to Washington, the measure would have undermined one of the core strengths of American civil society: voluntary, local solutions driven by private generosity.
“Government spending is shrinking – which is a good thing – and generous Americans are ready and willing to support causes and communities around the country,” said Philanthropy Roundtable Chief Operating Officer Elizabeth McGuigan. “We’re especially grateful for the leadership of President Donald J. Trump, whose pro-growth, pro-America agenda continues to inspire strong economic stewardship.”
Not only does the final bill ensure charitable dollars will continue to have meaningful impact, but it preserves access to essential programs and services that government cannot easily replicate or is not well-positioned to provide. By protecting charitable giving, Congress has reaffirmed a foundational American freedom: the right to give generously and voluntarily in order to build a better future from the ground up.
