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States Move To Revoke Charities' Tax Exemptions
MercuryNews ^ | February 27, 2010

Posted on 02/27/2010 10:12:15 PM PST by Steelfish

States Move To Revoke Charities' Tax Exemptions

Faced with steep declines in tax revenue, an increasing number of states and localities are considering eliminating various tax exemptions for nonprofit groups.

A bill before the Hawaii Legislature, for instance, would require charities to pay a 1 percent tax, and Kansas is considering making them subject to sales taxes. Revoking the nonprofit organizations' exemptions from property taxes is also under scrutiny in several counties in Kansas, as well as in Pennsylvania. And last fall, Minneapolis made charities subject to the fees it charges businesses and residents for streetlights in hope of gaining an additional $155,000, an exercise Jon Pratt, executive director of the Minnesota Council of Nonprofits, describes as "looking under the sofa cushions."

In most cases, churches would be exempt from the tax measures, but all other nonprofit groups, including private schools and colleges, would be affected. City and state officials say they have no choice. "We're having to look at the public services nonprofits use and how we can adequately cover those costs," said Matt Greller, executive director of the Indiana Association of Cities and Towns. "We can't give them away for free any longer." Nonprofit groups say the moves to wring revenue out of them are shortsighted and will produce cutbacks in critical services that governments rely on them to provide, like mental health and emergency foster care services.

(Excerpt) Read more at mercurynews.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: charitiestax; charity; military; obama; taxincrease
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1 posted on 02/27/2010 10:12:15 PM PST by Steelfish
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To: Steelfish

I think we should have special tax on unions.


2 posted on 02/27/2010 10:13:25 PM PST by JMS
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To: Steelfish

So, how’s that hopey changey thing working out for you libs? :)


3 posted on 02/27/2010 10:19:17 PM PST by Tzimisce (No thanks. We have enough government already. - The Tick)
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To: JMS

And a homeland security tax on muslims.


4 posted on 02/27/2010 10:19:26 PM PST by jimbo123
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To: Steelfish
I am starting a non-profit in Hawaii to establish a Barack Obama tourism site based upon his hospital of birth. Everyone send me $100 buicks.

One question. Does this post mean I can't be given a tax exemption?

5 posted on 02/27/2010 10:27:21 PM PST by votemout
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To: Steelfish

I move to revoke 0bama’s moslem privacy.

We should make him pray in the open, on his little prayer rug, at the feet of Soros.

While moslem children (jihadis in training) dance around him in a big circle, chanting “Mmm mmm mmm.”


6 posted on 02/27/2010 10:27:53 PM PST by StopObama2012 (CLICK ME to expose Osaudi)
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To: Steelfish

I’d start with all of George Soros’ front groups.


7 posted on 02/27/2010 10:28:10 PM PST by Question Liberal Authority ("We can't control nature" - Barack Obama, Feb 27, 2010)
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To: votemout

“Everyone send me $100 buicks.”

Will you accept Chevys?


8 posted on 02/27/2010 10:29:27 PM PST by Nik Naym (This space under construction)
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To: Steelfish

“We’re having to look at the public services nonprofits use and how we can adequately cover those costs,” said Matt Greller, executive director of the Indiana Association of Cities and Towns.”

Enlighten us. What public services do charities use?


9 posted on 02/27/2010 10:31:27 PM PST by Attention Surplus Disorder (Voters who thought their ship came in with 0bama are on their own Titanic.)
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To: Steelfish

This taxation craze is way out of control. So now the Salvation Army bell ringer is going to be forced to share his coins with the government. And I guess the kids that receive toys through Toys for Tots will have to share with the irs as well. This just aint right.


10 posted on 02/27/2010 10:32:11 PM PST by cva41
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To: Steelfish

There’s a move on to remove the charity classification for Churches too....saw it on one of our out of this planet liberal nieces Facebook page...


11 posted on 02/27/2010 10:37:21 PM PST by goodnesswins (Tagline, oh, tagline, whereart thou tagline....)
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To: Attention Surplus Disorder

“Enlighten us. What public services do charities use?”

Fire, police etc...


12 posted on 02/27/2010 10:39:27 PM PST by babygene (Figures don't lie, but liars can figure...)
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To: Steelfish

This is probably a good move... Along with the tax break comes the control by the government.


13 posted on 02/27/2010 10:41:55 PM PST by babygene (Figures don't lie, but liars can figure...)
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To: Steelfish; Eric Blair 2084; GOP_Lady

I would tax only busybody nonprofits, such as the American Cancer Society, which advocates smoking bans.


14 posted on 02/27/2010 10:42:05 PM PST by Tolerance Sucks Rocks (I am Ellie Light.)
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To: Steelfish
"In most cases, churches would be exempt from the tax measures"

Why? In many cases churches acquire prime commercial real estate, many times from member donations, thereby removing such property from the tax rolls, and sometimes diminishing some small towns' financial income. I think that a fair and balanced approach would be to allow church tax exemption for the actual worship site property, with all other properties and businesses having to pay their fair share. As it is currently, church employees in one state that I am aware of, do not have any unemployment insurance, because the church is exempt from buying into the state unemployment insurance system.

15 posted on 02/27/2010 10:43:26 PM PST by matthew fuller (1962- Last year of intelligence- First year of television.)
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Comment #16 Removed by Moderator

To: Steelfish
City and state officials say they have no choice.

They could privatize those services. The charities wouldn't get the services for free then, the services would cost the public less, and the government wouldn't have to pay the administration costs.

17 posted on 02/27/2010 10:44:15 PM PST by SeeSharp
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To: Tolerance Sucks Rocks

PeTA; Sierra Club? NAACP; Rainbow Coalition? These a D’rat fronts.


18 posted on 02/27/2010 10:51:17 PM PST by Steelfish (ui)
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To: matthew fuller

You’ve have hit on one of my not so favorite issues. Churches (some) have extremely large investment portfolios. Which produce tax free income, but also allow the church to vote in the shareholders meeting. They have a voice in election of directors as well as attempting to pass policies that impact the companies. I have always viewed this as a misuse of donated funds.


19 posted on 02/27/2010 10:56:33 PM PST by cva41
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To: Attention Surplus Disorder
"Enlighten us. What public services do charities use? "

What about fire, police, street maintenance, and EMS for starters? (if they have a physical address).

20 posted on 02/27/2010 10:56:56 PM PST by matthew fuller (1962- Last year of intelligence- First year of television.)
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To: Steelfish
The camel's nose under the tent. If a 1 cent tax is put on charities, it will soon mushroom into the same rate as businesses.

Also, kiss goodbye to all the write offs for charitable and church contributions. Tax is an infectious disease.

vaudine

21 posted on 02/27/2010 11:06:48 PM PST by vaudine
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To: Steelfish
No taxation without representation. If you want to tax the churches, expect them to insist on a seat at the table when determining public policy. If that is denied, plan on endless litigation. The politicians can't have it both ways.
22 posted on 02/27/2010 11:10:04 PM PST by Myrddin
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To: babygene
This is probably a good move... Along with the tax break comes the control by the government.

Um, no. You got it backwards.

23 posted on 02/27/2010 11:10:33 PM PST by VeniVidiVici ("Bring out yer dead! Bring out your dead!" - Cries of a Navy Corpseman)
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To: Tolerance Sucks Rocks
I would tax only busybody nonprofits, such as the American Cancer Society, which advocates smoking bans.

Screw that equal protection stuff. The Constitution only applies to people we favor.

24 posted on 02/27/2010 11:14:23 PM PST by Myrddin
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To: VeniVidiVici

“Um, no. You got it backwards.”

No I don’t... As long as their giving you a tax break, you need to do what they say. (or loose it)


25 posted on 02/27/2010 11:24:52 PM PST by babygene (Figures don't lie, but liars can figure...)
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To: Steelfish

The only good I can see out of it would be that it would make these groups demand more responsible government spending and therefore lower taxes.

Too often they are in support for a new tax to help the poor or some pet cause as long as they are exempted.


26 posted on 02/27/2010 11:25:46 PM PST by Swiss (Reality don't seem real anymore)
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To: Steelfish

I give money to causes outside of my state and to some that inflict all of us. I always will. I will personally take the “hive” for any group willing to eradicate it.


27 posted on 02/27/2010 11:30:14 PM PST by eyedigress ((Old storm chaser from the west)?)
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To: Swiss

You have given up your freedom. My money goes where I say. Yours does not, by that analogy. Why would you think somebody that works for the government is more intuitive than you are?


28 posted on 02/27/2010 11:34:36 PM PST by eyedigress ((Old storm chaser from the west)?)
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To: babygene
No I don’t... As long as their giving you a tax break, you need to do what they say. (or loose it)

Well, it looks like they are going to lose it anyhow. Pfft.

Now the government can tax them out of existence. Which is what government does when it wants to get rid of something.

29 posted on 02/27/2010 11:35:51 PM PST by VeniVidiVici ("Bring out yer dead! Bring out your dead!" - Cries of a Navy Corpseman)
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To: Myrddin

I was being facetious. But seriously, do you appreciate non-profits advocating for laws to reduce your personal freedoms?


30 posted on 02/27/2010 11:37:07 PM PST by Tolerance Sucks Rocks (I am Ellie Light.)
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To: goodnesswins

Coloradans tried eliminating property tax exemptions for “non profits” and “charities” with an initiative some years ago. The property tax exemption for churches would only apply to the property actually used as a church — not “camps” and other property.

The initiative lost — but it may be tried again.

Many of the “non profits” and “charities” pay their managers and employees a helluva lot more than many small businesses can afford to pay their people.


31 posted on 02/27/2010 11:50:30 PM PST by Solitar ("My aim is not to pass laws, but to repeal them." -- Barry Goldwater)
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To: matthew fuller
What about fire, police, street maintenance, and EMS for starters? (if they have a physical address).

Yes, those nonprofits and charities use all those services -- just like the residential and commercial property does. Why should they get a free ride on the backs of the other property owners?

32 posted on 02/27/2010 11:53:55 PM PST by Solitar ("My aim is not to pass laws, but to repeal them." -- Barry Goldwater)
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To: Tolerance Sucks Rocks
I was being facetious. But seriously, do you appreciate non-profits advocating for laws to reduce your personal freedoms?

Follows a very short list of tax-exempt organizations. Which has the best chance of losing it's tax exempt status? Now, which is most often on our side of the issues? Not that it matters because just as many so-called conservatives back churches giving up tax-exempt status as liberals.

UAW
SEIU
PETA
CODE PINK
ACORN
Churches

33 posted on 02/27/2010 11:59:05 PM PST by VeniVidiVici ("Bring out yer dead! Bring out your dead!" - Cries of a Navy Corpseman)
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To: Tzimisce

Liberals don’t have a damn clue about the liberal art of capitalism. They are not aware of the inherent progression and lack the ability to look ahead. They are “washed” and run mindless as far as governance is concerned.


34 posted on 02/28/2010 12:01:11 AM PST by eyedigress ((Old storm chaser from the west)?)
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To: Solitar
"Why should they get a free ride on the backs of the other property owners? "

I believe that the normal, assumed rationale is that they perform a community service.... well, that might be. And it might be that the "service" that they perform is in Ethiopia, or for hamas, or even for "planned parenthood", or acorn.

35 posted on 02/28/2010 12:05:49 AM PST by matthew fuller (1962- Last year of intelligence- First year of television.)
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To: Tolerance Sucks Rocks
But seriously, do you appreciate non-profits advocating for laws to reduce your personal freedoms?

No. They are seditious organizations. Undermining elections (ACORN), currency (Soros), 2nd amendment rights (Brady, Tides, Soros), freedom of religion (ACLU), private property (Sierra Club, World Wildlife Fund) and more. You already listed some of your favorites. Many of these organizations not only enjoy a tax exempt status, they are also parasites on the taxpayer. ACLU gets paid every time they file a civil rights case by federal statute.

36 posted on 02/28/2010 12:28:27 AM PST by Myrddin
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To: VeniVidiVici

“Now the government can tax them out of existence. Which is what government does when it wants to get rid of something.”

Aside from property taxes, businesses are taxed on their profit. If they are a charity and don’t have any profits, there’s not going to be any profits anyway.


37 posted on 02/28/2010 12:42:03 AM PST by babygene (Figures don't lie, but liars can figure...)
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To: matthew fuller

That is because our very wise founders knew from personal experience what happens when the state gets control of the church.

Tax is control.

That’s why church properties are exempt.

I am sure, pragmatically, that the good they do in terms of charity and keeping people from anti-social behavior far exceeds the tax income.


38 posted on 02/28/2010 12:43:08 AM PST by Persevero (Satan tries to separate what God puts together and join together what God separates.)
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To: babygene
Aside from property taxes...

Often property taxes pay for fire departments, police/sheriff departments, and street maintenance, and ambulance services -- all used by the people in those "non-profits" .

39 posted on 02/28/2010 1:27:48 AM PST by Solitar ("My aim is not to pass laws, but to repeal them." -- Barry Goldwater)
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To: vaudine

Tax is an infectious disease.<<<<<<<

The power to tax is the power to destroy!!


40 posted on 02/28/2010 2:50:10 AM PST by timetostand (Ya say ya wanna revolution -- OK!)
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To: Steelfish
City and state officials say they have no choice.

Yeah, they couldn't possibly CHOOSE to cut government expenses to the level of government revenue.

41 posted on 02/28/2010 2:57:34 AM PST by NoControllingLegalAuthority (As Wichita falls so falls Wichita Falls)
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To: Persevero

The Founders exempted churches from taxes ?


42 posted on 02/28/2010 3:00:43 AM PST by ComputerGuy
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To: JMS
Charities must pay, but unions would be exempted from taxes on their CADILLAC healthcare plans! We live in an upside down world!
43 posted on 02/28/2010 3:06:34 AM PST by REPANDPROUDOFIT (General, sir, it's ok to call me "ma'am"!)
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To: Steelfish

They have to do something in order to pay for all those generous retirement packages. This is just a drop in the bucket compared to what is coming. I don’t think they will be able to tax us enough to pay for all the promised benefits.


44 posted on 02/28/2010 3:08:26 AM PST by REPANDPROUDOFIT (General, sir, it's ok to call me "ma'am"!)
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To: Steelfish

If the government cannot control you, you WILL pay a price.


45 posted on 02/28/2010 3:29:20 AM PST by freeangel ( (free speech is only good until someone else doesn't like what you say))
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To: votemout

One question. Does this post mean I can’t be given a tax exemption?

Are you black or white?


46 posted on 02/28/2010 3:56:57 AM PST by chainsaw ( 'You know that your landing gear is up and locked when it takes full power to taxi to the terminal)
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To: babygene

Tax ‘em all ‘til they squeal. Get enough pissed off people and things begin to change. Otherwise the exempt people either fight to retain the status quo or advocate for an increase in taxes on the rest of us to keep their ox from being gored.


47 posted on 02/28/2010 4:08:09 AM PST by Scotsman will be Free (11C - Indirect fire, infantry - High angle hell - We will bring you, FIRE)
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To: cva41

My neice bought a house in an upscale neighborhood and searched the internet for the owners of the house she had originally wanted. It was bought by Salvation Army and further research showed ownership of shopping malls and many homes in residential areas. We thought having temporary apartments for fire victims was a great idea but the location of the neighborhood tells a different story. Check out the local charities and the amount of property owned without paying taxes. I know they do good work but it concerns me that they have so much money to buy real estate yet continue to ask for pledges.


48 posted on 02/28/2010 4:08:52 AM PST by Dianer0839
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To: matthew fuller

“In many cases churches acquire prime commercial real estate...”

Trinity Church at Wall and Breadway in lower Manhattan holds vast tracts of commercial and residential properties throughout the financial district. They also own this little bit of NYC

http://www.trinitynyc.com/properties.asp


49 posted on 02/28/2010 4:09:08 AM PST by Roccus (Hawaii Hall of Records safe from tsunami......Obama saddened.)
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To: matthew fuller

“...having to pay their fair share.”
Thats sounds so, so, well leftist.


50 posted on 02/28/2010 4:10:17 AM PST by Scotsman will be Free (11C - Indirect fire, infantry - High angle hell - We will bring you, FIRE)
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