According to Harold Hancock, legal counsel for the House Ways and Means Committee, tax code changes are possible this year for charities and other nonprofits. We talked about this last year (and the year before), but so far, nothing has come to fruition. If certain members of both parties get their way, this year could actually see changes happen.
The proposals being considered mirror those of last year: namely, executive compensation caps, a 5-year distribution requirement for gifts to donor advised funds, adjustments to the private foundation excise tax, proposed changes to the treatment of unrelated business tax income, and tighter limits on charitable deductions. Like last year, the primary culprits are President Obama from the left and Rep. Dave Camp from the right. And also like last year, each are a solution in search of a problem. Don’t these guys have more important issues to deal with than tightening the screws on charity?
We’ll keep you posted with more detail as this unfolds. In the meantime, see more here: https://philanthropy.com/article/Nonprofit-Tax-Changes-Are/228637