Universal Deduction Bill Draws Measured Praise
Leaders of nonprofit advocacy organizations have applauded legislation introduced to create a universal charitable deduction for all taxpayers but note concerns about limiting it to a third of the standard deduction.
U.S. Rep. Mark Walker (R-N.C.) last week introduced the Universal Charitable Deduction Act (H.R. 3988), which was referred to the House Committee on Ways and Means.
The bill would establish a universal charitable deduction, which would be available to taxpayers who itemize as well as those who do not and merely take the standard deduction, currently $12,700 for married filers. Non-itemizers would get the deduction but only up to an amount equal to one-third of the standard deduction, or about $2,100 for individuals and $4,200 for married couples. Under the Republican tax reform framework released last month, the standard deduction would be nearly doubled to $24,000. About 70 percent of taxpayers currently claim the standard deduction, which,according to the GOP, would rise to 95 percent...