Skip to comments.The GOP Tax Bill Will Hurt U.S. Universities (taxes endowments)
Posted on 12/01/2017 2:53:23 PM PST by cotton1706
It seems odd that a tax bill purporting to boost economic growth would take resources away from the institutions most vital to promoting it. But thats just what the Tax Cut and Jobs Act, which has passed the House and is heading to a vote in the Senate, does.
The legislation takes the unprecedented step of taxing the income of certain private universitiesspecifically, it imposes a 1.4 percent tax on net endowment income for universities with endowments larger than $250,000 per full-time student. Some commenters have applauded the tax, as if it would rectify everything they consider amiss with higher education in America. But few of those supporters have examined the measures dire consequencesrepercussions that would frustrate everything from access to college in America to the top-notch university research that creates U.S. jobs.
(Excerpt) Read more at politico.com ...
Surely the universities would want to live up to their "from each according to his ability, to each according to his need" philosophy!
Apparently not. 1.4% of THEIR money must not go to the government!!
US Universities, aka: Institutions of Marxist Indoctrination.
Oh boo hoo.
Good. Liberals love taxes. This should have them in ecstasy.
Writer seems to be applying for job as Drama Queen...
The next step is for the Fed to get out of the student loan business. Let the universities provide the loans and actually stand behind their worthless degrees. Colleges will think twice about extending $150k loans of their own money to philosophy majors who will spend their careers as coffee baristas.
But but but but its ONLY 1.4% don’t you want to pay your fair share? It will NEVER go up right? Ha ha ha ha. I’m a recovering college professor who was shown the door for being a conservative in a “conservative” school. I LOVE THIS!!
The GOP Tax Bill Will Hurt Leftist Indoctrination Centers
There, fixed it ... and this is coming from an old newsman who wrote his share of headers before they kicked him out of the biz for being conservative.
President Trump appease tax loving liberal Universities by Taxing them.
So it is not even on all endowments, it is only on the wealthiest 1%. What's not to like about that?
They can even reduce their tax burden by (a)enrolling more full-time students and/or (b)making more endowment money available for scholarships.
Who thought up this genius plan?
OutSTANDING, Mr. President.
Universities should back up the governments student loan obligations. When their graduates fail to pay back their student loans the universities should make up the debt. Not the government.
Since most members of SAG make only around $6,000 per year from acting gigs, it would surtax incomes only above $120K. Didn't their hero ObaMao say he wanted to spread the wealth. Let's see how that works in Hollywood, then expand it to Broadway, journalism and the rest of the entertainment industry.
Hell. These institutes of Communist Indoctrination don’t need any help in hurting themselves.
So, let’s do what we can to help them along toward shuttering their doors.
Harvard’s endowment is over 40 billion and growing.
If Harvard has an endowment of 12 billion. from which the annual income is five percent the tax at 1.4% is not that great. But it is a start.
Think how many hungry chil’run could be fed. Harvard doesn’t need that much money.
1.4% is way too low. Make them live up to their words. Fair share and all.
It is also time to start taxing private foundations. The Ford Foundation, Carnegie Foundation, Rockefeller Foundation, George Soros’s foundation and many others spend hundreds of millions of dollars per year on social justice work targeted at destroying the republic and western civilization. The work of these “nonprofits” should not be supported by the taxpayer through the tax code.
Reform of foundations would encourage foundations to distribute the assets of the foundation within 10 years of its establishment as follows:
1) Limit the tax exemption on income from foundation assets to 10 years from the date the foundation is established.
2) Limit the tax deductibility of donations to a foundation and activities or programs of the foundation to 10 years.
3) Ten years from the date the foundation is established, the foundation’s assets will be subject to an asset tax of 5%.
4) All assets and retained income from the investments of the foundation must be distributed according to the charter of the foundation within 25 years of the foundation being established. Any assets remaining on the 25th anniversary of the foundation will be donated to the US Treasury general fund.
5) From inception real and personal property of foundations, as well as financial assets, will be subject to state and local property taxes and intangible taxes.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.