News Roundup: The 2013 budget and charitable deductions
Last week President Obama submitted his budget for 2013. In the budget is a proposal to limit the percentage of charitable deductions than can be taken. Many nonprofit leaders are critical of the plan because they think it will reduce contributions. Here is an article on the budget by Lisa Chiu of the Chronicle of Philanthropy.
Rick Cohen of the Nonprofit Quarterly thinks contradictory messages are being sent from the White House. A month earlier he reported White House officials as saying the charitable deduction cap was off the table for 2012. (No change to charitable deductions) Now it seems the White House has reversed itself. Read Cohen’s article about President Obama’s plan.
Do you want to know the reasoning behind the charitable deduction cap? Read a post by Jonathan Greenblatt, Director of Social Innovation who lays it out.
So what does all of this mean for nonprofit funding in the future? Will the charitable deduction cap affect future contributions? That remains to be seen.
Do you think the proposed change in the charitable deductions cap will negatively impact contributions? Has the proposed legislation affected your fundraising plans?