Title















Site Registration | FInd a Copy | Event Calendar | Site Map | Search the Site
The Voice of the Black Community

News

‘Fiscal cliff’ threatens nonprofit donations
Tax deductions could take hit with changes
 
Published Thursday, December 13, 2012 7:22 am
by Stephanie Carroll Carson, N.C. News Service

RALEIGH – One unintended consequence of fixing the "fiscal cliff" could be a reduction in the tax incentives to make nonprofit donations.


Capping the amount of itemized deductions individuals can claim at around $17,000 is one solution being tossed around in Washington to help solve the budget shortfall. In North Carolina, that amount would just cover the average fixed-cost deductions, including mortgage interest and state taxes paid, and would leave little room for nonprofit contributions.


David Heinen, director for policy and advocacy for with the North Carolina Center for Nonprofits, says that will have a big impact on organizations and consumers.


“It is very clear that if the tax incentives go away, it's going to significantly reduce contributions to nonprofits from individuals,” he said.


If Congress fails to overcome the fiscal cliff by year's end, automatic cuts to programs would take place, including a $13-million cut to Head Start programs in North Carolina. In addition, there will also be significant cuts to programs because less public money would be available.


The cuts come as nonprofits are being asked for more help from their communities. Heinen says the workload at state nonprofits has increased almost 18 percent. Sylvia Oberle, who heads Habitat for Humanity of Forsyth County, says the issues caused by a reduction in services by nonprofits have a tendency to multiply.


“While we may still have the wherewithal to build houses for families, their own incomes and the services that they receive can be cut back,” she said. “It really is a trickle-down effect.”


According to the North Carolina Center for Nonprofits, nonprofits employ 11 percent of the state workforce, and cuts to nonprofit budgets would put their jobs in danger, as well.

Comments

Leave a Comment


Send this page to a friend

Upcoming Events

read all
22

Colour of Music: All Black Classical Musicians Festival

The 2nd annual Colour of Music Festival will

24

Rockin' & Racin' Exhibit

Get ready for a jam session like no other at the

24

Serpents of the Seas Exhibit

A new, limited-time exhibit opens at Sea Life

Latest News

read all

Sip on this: Fun Halloween cocktail recipes

Refreshing libations for fall festivities

Charlotte Post Foundation kicks off Fund Drive

Become a friend of the Foundation Earl Leake - Retired Snyder's-Lance executive and Charlotte Post Foundation board member Become a Friend of the Foundation Learning help is on the way for underperforming African-American elementary students, courtesy of generous contributors to the Friends of the Charlotte Post Foundation. The Friends of

Phills' No. 13 returns to Charlotte

Hornets to unveil retired jersey Nov. 1