Could The GOP Tax Law Mean Less Charitable Giving?
In past years, about a third of Americans itemized their deductions after donating to charities, according to an associate dean at Indiana University's school of philanthropy. Today, researchers say less than 10 percent will itemize.
The holidays are a big time for giving, but charities are concerned they will see less money in donations this year, because of changes from last year’s tax law. That law increased the standard deduction, and researchers at Indiana University say that could cause people to donate less.
“The Tax Cuts and Jobs Act was passed at the end of December, 2017, and it brought some changes to American households and especially taxpayers who are now facing some new financial decisions,” says Una Osili, associate dean at the university’s Lilly Family School of Philanthropy.
Now, under the new law, it is more advantageous for households to take the standard deduction instead of itemizing
