The Color of Money
Nonprofits fear results of cutting tax break for donations
Many people are motivated to give to charity by tax breaks. And some do give more because of the charitable deduction. Our country is deeply in debt and our leaders are struggling to find ways to get the federal budget in balance. We are facing a “fiscal cliff” — the expiration of the Bush tax cuts along with spending cuts — that could trigger another recession. One strategy that has been proposed to avoid the cliff is to reduce or eliminate the deduction for charitable donations.