Coalition of Nonprofits Calls for Restoration of Expired Tax Relief Provisions to Enable Nonprofit Disaster Response

Several leading national nonprofit organizations are calling on Congress and the President to immediately provide the tools charitable nonprofits need to provide relief to millions of people across the country impacted by devastating natural disasters, ranging from deadly floods to droughts to wildfires. Several disaster-related tax provisions enabling nonprofits to provide relief and recovery to residents expired at the end of 2021. There is strong bipartisan support for restoring and improving those provisions, which would generate resources to enable nonprofits to better aid their communities at a time of immense need.

In a letter signed by 27 organizations, including American Red Cross, the National Council of Nonprofits, and United Way Worldwide, the coalition called for:

  • Renewal and improvement of the universal (or non-itemizer) charitable deduction;

  • Restoration of giving incentives that allow individuals to deduct up to 100% of their adjusted gross income and corporations to deduct up to 25% of taxable income; and

  • Reinstatement and modification of the Employee Retention Tax Credit.

In the face of every disaster, nonprofits are there, even when their own operations are affected or when their own staff and volunteers have been displaced. But too many nonprofits remain depleted from all they have done for the public throughout the pandemic. For nonprofits to keep doing what the public relies on, Congress needs to restore the tax provisions it ended early let expire in 2021. With disasters affecting dozens of states and millions of residents, our communities and the nonprofits that serve them need immediate relief – today.

 

The organizations signing the letter are:

Agudath Israel of America

American Alliance of Museums

American Red Cross

Americans for the Arts

Catholic Charities USA

Community Foundation Awareness Initiative

Council on Foundations

Faith & Giving

Girl Scouts of the USA

Goodwill Industries International, Inc.

Habitat for Humanity

Independent Sector

Jewish Federations of North America

League of American Orchestras

Meals on Wheels America

Mental Health America

National Community Action Partnership

National Council of Nonprofits

Network of Jewish Human Service Agencies

Social Current

Team Rubicon

The Nonprofit Alliance

United Philanthropy Forum

United Way Worldwide

Volunteers of America

YMCA OF THE USA

YWCA USA

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