Taxes and Giving: What to Look for as Trump Seeks an Overhaul

In the first in a series of planned events to promote a tax overhaul, President Trump on Wednesday appeared in Missouri to urge Congress to act. But nonprofit tax advocates, who have been watching warily, are still waiting for a more detailed plan.

The president and legislative leaders have said the charitable deduction, which nonprofit leaders say is a key driver for many donors, will survive. But Congress is likely to consider limits on the deduction, such as a cap on the value of gifts that can be written off.

What’s more, other tax changes under consideration could alter donor behavior even though they are not directly related to charitable giving. For instance, many experts warn that a repeal of the estate tax, which enjoys deep support among GOP lawmakers, could reduce incentives to give.

A proposal to double the standard deduction also has nonprofit leaders vexed. A higher standard deduction, they say, would weaken the tax incentive to donate because more taxpayers would see bigger deductions by choosing it than they would if they separately itemized their charitable gifts.

When Congress returns into session after Labor Day, the tax debate is expected to dominate action on Capitol Hill. Here’s a look at how nonprofits are taking part:

• Nonprofit Leaders Making Their Voices Heard on Tax Issues
• Nonprofit Coalition Takes a New Tack in the Trump Era
• As GOP Eyes Estate Tax, Muted Pushback From Charity Leaders
• As a Slimmed-Down Tax Plan Becomes More Likely, Nonprofits Shudder
• GOP Tax Plan Would Reduce Giving by $13 Billion, Study Finds
• Tax Lawyers Say Trump Plan Does Little to Help Charities
• Trump Tax Plan Would Reduce Giving Incentives, Experts Say
• A Giving Boom in 2017? Trump’s Tax Agenda Could Set the Stage for a Fundraisng Spike