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
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
The Nonprofit Alliance
United Philanthropy Forum
United Way Worldwide
Volunteers of America
YMCA OF THE USA