Working Families Tax Cuts Encourage Broad-based Charitable Giving

Working Families Tax Cuts Encourage Broad-based Charitable Giving

Washington, D.C.-In addition to delivering tax relief and fueling economic growth for families and businesses, the Working Families Tax Cuts include policy victories for charitable giving and educational opportunity. By making key charitable giving provisions permanent, the legislation provides greater certainty for individual donors while helping more Americans to support philanthropic organizations, religious institutions and the communities they serve. Additionally, through the new Education Freedom Tax Credit and Trump Accounts, the law helps children build a stronger foundation for lifelong success.

"Americans are among the most generous people in the world, and the Working Families Tax Cuts' support for charitable giving strengthens that identity," said U.S. Senate Finance Chairman Mike Crapo (R-Idaho). "The law's treatment of contributions to nonprofit organizations gives many Idahoans additional incentives to support worthy causes in our communities, and new programs for children give them increased access to the resources they need to succeed."

Key wins:

• Permanently allows non-itemizers to claim a deduction of up to $2,000 per couple for eligible charitable donations
• Makes permanent the increased contribution limitation for cash gifts to qualified charities
• Creates Trump Accounts, allowing families, employers and philanthropists to help children save for the future
• Creates the Education Freedom Tax Credit, incentivizing support for scholarship funds that help families afford costs connected to K-12 education

What they are saying:

"The [Working Families Tax Cuts] keep more money where it belongs-in the hands of hardworking Americans and the communities they care about. By unleashing economic growth, President Trump is strengthening the engine of generosity, which empowers local, private solutions to challenges that our government cannot and should not provide." - Philanthropy Roundtable CEO Christie Herrera

"The American Dream belongs to every child. [Trump Accounts] are equipping the next generation to claim their rightful share." - U.S. Treasury Secretary Scott Bessent

Click HERE to learn more about the Finance Committee provisions in the Working Families Tax Cuts.