
Trump tax law threatens charities. The poor will pay.
“The preliminary data is showing for the small- to mid-sized nonprofits, they’re the ones suffering the most.
“The preliminary data is showing for the small- to mid-sized nonprofits, they’re the ones suffering the most.
Next year’s tax season will bring a major fundraising opportunity for organizations such as charities, museums and youth groups, the head of the Colorado Nonprofit Association said Thursday in a visit to Pueblo.
“We know that most people who donate to charitable nonprofits do so because they believe in the mission of the organization and not for a tax deduction,” said Rick Cohen, Chief Communications Officer for National Council of Nonprofits.
Charitable revenue from donations of at least $1,000 increased by 2.6% in 2018, according to Monday’s report from the Association of Fundraising Professionals, and there were signs that the tax law is discouraging some gifts.
The standard deduction for a married couple almost doubled from $12,700 to $24,000. This means less people will be itemizing, opting to take the standard deduction instead.
Rick Cohen with the National Council of Nonprofits says charities are encouraging average folks to give year-round and changing their messaging, "a focus more on the mission of the organization than on the tax benefit that the donor would receive...
"There are a lot fewer people who will be itemizing their taxes next year with the doubling of the standard deduction." "Small donations really make a big difference."
Changes to the federal tax code — like the doubling of the standard deduction under the new tax law — are expected to impact charities and non-profits, beginning with end-of-year giving.
With the donations, the shelter provides emergency housing for 14 families at a time. Sometimes it is parents and children but can also be grandparents and grandchildren.
And it is full virtually all the time, Casson said.
Rick Cohen, chief communications officer for National Council of Nonprofits, said many nonprofits still are hoping to avoid the worst of those effects — at least for this year.