With the markup of the House Republican tax reform bill, H.R. 1, the Tax Cuts and Jobs Act of 2017, in full swing, the Joint Committee on Taxation released a memorandum yesterday that confirmed the very concerns that ACR and our partners in the nonprofit sector have been proclaiming for months.

The memo confirms two things. First, the number of those who will itemize will be greatly reduced, which was also a finding in a study released earlier this year by Indiana University’s (IU) Lilly School of Philanthropy; and second, charitable deductions will fall by $95 billion, or 40 percent, under the current House tax reform bill. To clarify, this does not mean that charitable giving will fall by $95 billion, only that the amount being claimed as a charitable deduction will fall. It confirms the ramifications for the charitable sector that comes with greatly reducing the number of those who will itemize.

Read the full article by Marques Chavez about tax reform from Alliance For Charitable Reform