Nonsense!I don't give to charities just so I can get a tax cut. Thats DUMB!!,And I doubt 99% of everyone else does either.
A large majority of taxpayers do not itemize deductions so they can't take the charitable contribution deduction anyway. Under the fair tax 100% of the money you give to charity is tax free.
"Nonsense!I don't give to charities just so I can get a tax cut. Thats DUMB!!,And I doubt 99% of everyone else does either."
Thank you for that rational comment. I posed that question to a congressman I met with last year who was concerned about that very thing. He said that he gave money to his church. I asked him if he would stop doing that if the tax deduction were eliminated. His response was no, he wouldn't, but other people would. I have never met a single one of the people who would.
The purpose of the charitable contributions deduction is so that you pay it with pre-tax dollars. With the FairTax, you pay everything with pre-tax dollars. Charitable contributions are not taxed under the FairTax, just as they are not now.
In addition, research has shown that having money in your pocket is a greater inducement to give than are tax deductions and with no income taxes and a vibrant rapidly growing economy, charities will have never had it so good.