Monday, August 12, 2013

Charitable Deductions - The Foundation for Personal and Social Freedom

In considering policy decisions regarding budget and tax reform, charitable deductions should be protected as our foundation for personal and social freedom.

100 YEAR TRADITION

Congress enacted the charitable deduction in 1917, shortly after passage of the permanent income tax, to encourage the continuance of private giving to the community. 1.

For nearly 100 years charitable deductions have encouraged Americans to make decisions about the social programs that are best providing resources for the well-being of the community and country and to contribute monetary support for their continuance.

PERSONAL CHOICE -SOURCE OF INNOVATION AND SOCIAL BETTERMENT

This opportunity to contribute to the social organization of their choice has encouraged and motivated  citizens to take an interest in their community and an interest in volunteering to support and contribute to social betterment.

Charitable deductions have been a source of innovation for programs of social betterment through nonprofit organizations.  These groups support education, religion, health, scientific breakthroughs, crisis relief, music, art, literature, recreation, youth activities and a multitude of other interests.

When giving is a personal choice, donors are encouraged to volunteer their time and money to support the interests of their choice.  The foundation of our freedom rests on the assurance that we know better than government bureaucracies what best serves our values and needs.

NONPROFITS AT RISK

Americans are a generous and giving people.  However, according to a recent United Way poll, nearly two-thirds of the respondents say that without the charitable tax deduction they would have to reduce their giving significantly.  Many nonprofits that are supplying vital services to the community would find it necessary to reduce or abandon their efforts.  Billions of dollars of donations could be put at risk, undermining America's nonprofits and the people who are supported by them. 2.

PROTECT AMERICA'S STRENGTH

The strength of America lies in the wisdom of its citizens to care for the well-being of the communities in which they live through nonprofits, philanthropy, and personal charity.

We need to protect the American citizens' ability to continue these responsible contributions by protecting charitable tax deductions.  


References:
1.  Carson, Emmett D. "Charitable deduction should be the last thing Congress cuts."  San Jose Mercury News.
2.  Biemesderfer, David. Hansen, Teri A and Jerde, Roxie. "Guest Columnists: Don't cut charitable deduction." Herald-Tribune.  Wednesday, June 5, 2013.