Posted on 02/28/2009 2:21:37 PM PST by SeekAndFind
Some charities and nonprofit experts are worried that President Obama’s proposal to impose new limits on charitable tax deductions for wealthy people would dampen giving at a time when charities are under severe strain because of the recession.
“During the current economic downturn, which has forced nonprofits to do more with less, any proposal which would result in a decrease in private giving will be a disaster for America’s charities, and for those who depend upon them,” said United Jewish Communities, an umbrella group for Jewish social-service charities.
Mr. Obama proposed the new caps on Thursday as a way to finance changes in the country’s health-care system.
In a document outlining his 2010 budget plans, President Obama proposed limiting the value of the tax break for itemized deductions, including donations to charity, to 28 percent for families making more than $250,000. In other words, taxpayers would save 28 cents on their federal income taxes for each dollar donated.
That would reduce by as much as 20 percent the amount wealthy taxpayers could get in tax breaks. Under the current system, taxpayers who are in the 33 percent or 35 percent tax brackets use that rate to claim deductions.
(Excerpt) Read more at philanthropy.com ...
Obama’s reasoning is that the proposal on itemized deductions — which would also apply to claims such as mortgage interest — would raise $318-billion over 10 years. That money would help pay for a 10-year $630-billion reserve fund designed to help make health care more affordable and available.
In the name of fairness, of course.
Today there was another thread about the mortgage interest deduction being limited for those making over $250,000/year. Is this in addition?
“During the current economic downturn, which has forced nonprofits to do more with less, any proposal which would result in a decrease in private giving will be a disaster for America’s charities, and for those who depend upon them,” said United Jewish Communities, an umbrella group for Jewish social-service charities.
“
Yet didn’t American Jews overwhelmingly vote for Obama? Surely they knew he was a closet socialist.
Government will appropriate to iteself all possible and potential charitable funds, reserving to itself the role of charity.
Didn’t you get the memo?
Taxing charities? I’m sure that’s the ‘change’ people had in mind.
Technically it isn’t taxing charities. It is LIMITING DEDUCTIONS to charitable giving.
To illustrate, Mr. Sharpe offers the example of a wealthy donor in the top tax bracket who makes a $100,000 gift. The donor currently would save $35,000 in taxes, or 35 percent of the gift. Under President Obama’s proposal, that same donor would save only $28,000, or 28 percent — a difference of $7,000.
I'm sorry but if someone is wealthy enough to donate $100,000 to charity... but a difference in his tax writeoff of about $7,000 will stop him from donating... then he maybe needs to reexamine his reasons for being "charitable".
Plus a one night stay in the Lincoln bedroom.
Do I get this right? If people make over $250,000 they will not be able to claim payments on their home as a mortgage deduction?? Thats crazy. Insane.
No, they will still be able to claim mortgage payments as a deduction. I believe it will be a limit on how much they could claim and I think there’s something about a limit on how much they could claim on a second or vacation home.
No, maybe he simply needs to tell hussein to shove it. - We are not here to further the socialist agenda by being in any way charitable.
I am currently moving 100% into areas that have no taxable exposure at all, and I am winding down 2 different businesses, as well, so as to stay unexposed.
I am not here to further these agenda items in any way at all, nor am I going to be a useful idiot to do so.
The elite don't want to have to rub shoulders with non-Ivy League people who's only accomplishment in life is in working hard and being successful.
Whose donations build the new hospital wings and research centers - the wealthy. The health care in this country is so good because of so many generous wealthy people.
It appears to be aimed at itemized deductions for anyone making over $250,000. Mortgage interest and charitable deductions are usually the big hitters, but I'll bet any itemized deduction will be limited to 28% even though the marginal rate will be 39.6%.
Of course. We don't want to encourage the wealthy to buy homes we want to give to deadbeats and illegals.
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