14 December 2016

CGC to Trump: Exempt Charitable Giving from Cap

The Charitable Giving Coalition (CGC), of which ACR is a member, urged President-elect Donald Trump in a letter today to exclude the charitable deduction from any cap on deductions in tax reform legislation. Trump’s latest tax reform proposal includes a significant cap on deductions, including the charitable deduction.

“As you contemplate caps or restrictions on itemized deductions ($100,000 for individuals and $200,000 for couples/families filing jointly), we encourage you to exempt the charitable deduction from those restrictions. Unlike with other deductions, taxpayers can—and will—adjust their levels of charitable contributions in response to tax code changes. And if the deductions for state and local taxes and home mortgage interest meet (or exceed) the $100,000/$200,000 deduction limit, that completely removes the charitable giving incentive from the equation” the CGC wrote.

The Charitable Giving Coalition is made up of a diverse group representing America’s charitable sector including public charities, more than 40 private and community foundations and their grantees, as well as nonprofit organizations and the associations and umbrella groups that serve their needs. Click here to read the full letter to President-elect Trump.