Philanthropists, foundations, and other charitable organizations continue to fight against harmful legislation that curtails private charitable giving. Hawaii, North Carolina, Missouri, Montana, and Kansas are just a handful of states who have acted within the last year to pass legislation that would positively impact charitable giving. For example, Hawaii Governor Neil Abercrombie signed a bill last July that eliminated a cap on charitable deductions that had been in place for two years. Maine is the most recent state to take action.
The Philanthropy Roundtable is deeply concerned about recent remarks made by Aaron Dorfman, executive director of the National Committee for Responsive Philanthropy, before a leading regional association of grantmakers:
LOS ANGELES— Adam Meyerson, president of The Philanthropy Roundtable, highlighted the importance of the charitable deduction in preserving our nation’s civil society in his opening remarks at the organization’s annual meeting last Thursday.
States that have tinkered with one of the most sacrosanct of all tax write-offs – state income tax deductions and credits for charitable contributions – have seen their local charities suffer the backlash. Their decisions offer insight for other states and for federal officials who are contemplating reducing or eliminating tax incentives for charitable giving.
ACR Summit for Leaders 2013, March 19, Washington, D.C.
State and local governments are under increased budget pressure exacerbated by recent, and likely further, federal spending cuts. In many cases, states are curtailing tax breaks to raise more revenue, raising tax rates and fees, and are cutting their own spending. This panel will identify some of these trends.