07 Dec Tax Reform Could Hurt Charitable Giving
Tax reform changes proposed by Congress could hurt charitable giving more than previously thought.
A study conducted by the Indiana University Lilly Family School of Philanthropy initially estimated a $13.1 billion drop in charitable giving.
The study looked at a 2014 tax proposal, which mirrors bills introduced by Republicans in Congress this year.
Patrick Rooney is Executive Associate Dean for the School of Philanthropy. He says new provisions in the House and Senate bills could reduce charitable giving even further.
“We think that the repeal of the estate tax could reduce charitable bequest giving by as much as $7 billion per year, which would be pretty substantial,” Rooney says.
In addition, Rooney says lowering the corporate tax rate would reduce corporate giving by an estimated $1.4 billion.