Fiscal Cliff: Nonprofits And Charitable Tax Deductions May Be In Jeopardy

December 13, 2012

Maryland NonprofitsMaryland Nonprofits, the collective voice of the non-profit sector in Maryland, said the sequestration cuts may mean a loss of more than $117 million in Maryland’s state budget for the next year. Maryland Nonprofits refers to the State Department of Legislative Services’ recent estimate of a potential combined negative impact on Maryland’s fiscal 2014 personal income and sales tax revenues — which make up about 80 percent of the state’s general funds — ranging from $337 million to $635 million if we don’t avert the fiscal cliff. Together with the sequestration cuts, it could reach over 5 percent of the state’s total general fund budget.