The Obama Administration has proposed changes to the tax code—including some related to charitable giving—to increase federal revenue in the face of a slow economy and a mounting federal deficit. Our new study, sponsored by Campbell & Company, examines the impact of the Obama Administration’s proposals to reduce the charitable tax deduction for wealthy households and to increase the marginal income tax rates on itemized charitable giving. We estimate that if the Administration’s proposals had taken effect in 2009 and 2010 respectively, itemized charitable giving would have declined by 0.4 percent ($820 million) in the first year and by 1.3 percent ($2.43 billion) in the second year.
Read the October 2011 press release.
The paper Impact of The Obama Administration’s Proposed Tax Policy Changes on Itemized Charitable Giving, published October 2011, provides estimates that can again provide helpful analysis, commentary, and context to the nonprofit sector and policymakers.
Also, the Congressional Research Service has published an analysis with estimates of similar impact and magnitude that provides another helpful indicator of the implications for charitable giving.
For more information about this or the Center’s 2009 report on tax policy and changes in giving, please contact Una Osili, director of research, at .
