However, there is little question of the effect of his proposal to reduce the tax deduction for charitable contributions. There would be less incentive for voluntary charitable giving – it would, in effect be taxed – with a predictable hit on the same.
(Now whether that hit would be offset by other factors is beyond my ability to foresee. People obviously look at much more than tax deductions in determining their giving. I will say that I am one person who takes tax deductions into account in deciding at least the timing of his giving.)
But, not to worry, the government will help make up the difference with a fund to support non-profits (Scroll down to “Obama Charity Central”).
But what if a charity or non-profit opposes
I think most of you get the picture already. As one blogger puts it, Obama is effectively taking money that people would give to charities of their choice and giving it to charities of his choice. Whether or not this is Obama’s intent, it most certainly would be the effect of his proposals.
If you think this won’t harm conservative charities and favor Leftish ones, please think again. It’s been well documented that conservatives give more in voluntary contributions. So taxing such giving will likely harm conservative non-profits. As for what non-profits Obama’s fund would favor . . . again, I think you get the picture.
And, yes, this would affect churches as well, although I do hope Christians are more stubborn about giving to their churches as I am (i. e. If I’m compelled to reduce giving, I’ll cut other places instead of my church.).
Fortunately, there is opposition to Obama’s attempt to tax voluntary charitable contributions from both parties. Let us pray that opposition prevails.
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