Where was all the crying about charities when they were repealing the estate tax?

[Hello_Kitty]

I was at the gym earlier and saw a headline on CNN along the lines of "OBAMA'S GOING TO LIMIT CHARITABLE CONTRIBUTION DEDUCTIONS OH NOES!!1!" Well excuse me, but charities have lost BILLIONS since Bush implemented the gradual repeal of the estate tax and I have yet to hear boo about that from the MSM. Wealthy people often use philanthropic trusts to avoid the estate tax and many churches, social service organizations, hospitals, universities, etc., depend on them. The irony is that when charities and nonprofits are less able to serve the community, guess what happens? Demand for government services increases.

Reinstating the estate tax to what it was before 2001 (indexed to current inflation of course) would more than offset any decreases caused by capping charitable deductions.

[4lbs]

1. Interesting how the freepers are crying about this.

There's nothing that prevents them from giving $5K or $10K to charity as always.

They just won't get as much of a tax deduction for it.

Although, that shouldn't really be the reason to give to charity right? For the tax deduction?

[Hello_Kitty]

2. Most of the time I don't even deduct the full amount I give

Since I'm not the best about saving receipts. When I give to a cause the tax deduction is the last thing on my mind.

[4lbs]

3. I've never deducted any amount I've given to charity. I also tend to "forget" the receipts.

Also, in the past, during the 1990s, I was just doing the EZ form and taking standard deductions. Didn't include any receipts, so I know I likely paid a little more in taxes than I should have.

I didn't really care too much. The difference would have been about $100 on a federal income tax return.

[Hello_Kitty]

4. I used to give a pretty substantial amount monthly to the United Way and I deducted that

But the little nickle and dime stuff I don't bother with for the most part.

[Hello_Kitty]

5. I used to give a pretty substantial amount monthly to the United Way and I deducted that

But the little nickle and dime stuff I don't bother with for the most part.

[havocmom]

6. K & R

Good question

[havocmom]

7. and kick again

it's an important point to keep in mind for when the wingers take back to the streets after their meet-up this weekend.

[Vinca]

8. Anyone who donates to charity for the sole purpose of getting

a tax deduction is scum. People who care will still donate.

[TexasObserver]

10. No one does that.

People never give to a charity simply because it is deductible. They give because they want to support a particular cause. There are many ways to spend cash that create better tax benefits than giving it to a charity.

As for your conclusion, it is also in error. People give when they (1) have the money to give, and (2) want to support the charity. Many foundations and charitable entities are driven by funds that were created to avoid implications of the estate tax. The estate tax was never meant to be a revenue producer. It is a public policy law, designed to help assure that funding charities, foundations, trusts and such will continue.

The point of the discussion is that our tax code DOES impact charitable contributions. People do NOT continue to give at the same rate when the laws are changed. By having estate laws which encourage the formation of foundations or other non profits, we increase the money that flows to charities for all purposes.

If you think "people who care will still donate," go ask your favorite charities how they would feel if the tax deduction for charitable contributions was taken away.

[dkf]

9. Now we will see how much was truly charity and how much was

due to the extreme dislike people have of paying taxes.

[Honeycombe8]

11. I didn't know this about the estate tax. Thx. nt