Congress returns after the Thanksgiving break with several must-pass bills – an omnibus spending bill to fund the government past December 11 and transportation legislation are at the top of the list – leaving little room or time for negotiation of a tax measure to renew numerous expired tax provisions. Caught up in the tax discussion are key charitable giving incentives: the IRA rollover and enhanced deductions for food inventories and land conservation easements. Although time is short, policymakers are negotiating on a deal to restore retroactively for 2015 and renew most of the 50+ expired tax provisions through 2016 or 2017, make some of them permanent, and add measures that are priorities for President Obama, including making permanent the expanded Earned Income Tax Credit that expires at the end of 2017. The good news for nonprofits is that the components of the House-passed America Gives More Act are considered likely to be included, but only if a deal is reached.
It appears likely that the charitable giving incentives will be included as part of the larger package restoring various tax provisions temporarily for 2015 through 2016 or 2017. Making the giving incentives permanent - which is a high priority of many in the nonprofit community - will require a significant grassroots push. Readers are encouraged to contact their Representatives and Senators and insist that the components of the America Gives More Act be included and made permanent in any tax bill passed this year.
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