As I described in my post on "The Role of Government", if we truly wish to take care of America's poor and needy, it must be done through charity.
Progressive taxation aimed at redistributing wealth to the needy is well
intentioned, but eventually succeeds only in destroying wealth and creating
Economic policies that
lead to wealth creation and encouraging charitable
giving through tax credits not only result in more effective social assistance,
but guarantee the sustainability of that assistance.
Characterized as "loopholes", tax credits for charitable giving now find themselves on the chopping block in the infamous fiscal cliff negotiations.
Their proposals would not only negatively affect charities, but colleges, universities and hospitals as well. Donations are the primary source of income for most charities and because these donations are encouraged through resulting tax credits, removing this incentive would likely be devastating to charities and non-profits who often receive a third to half of their annual donations in the month of December as people begin to think about
income taxes and the need for deductions.
received just over $30 billion in donations in 2011, and the largest gifts most
colleges receive are typically made with awareness of tax benefits.
just no question that it will hurt charitable giving.” - Charles Phlegar,
vice president for alumni affairs and development at Cornell University
deduction for charitable giving costs about $52 billion in tax revenue per year, but the assistance it provides to America's poor and needy is immeasurable!!!
Tell your representatives to leave the charitable giving tax credit alone!!!