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WASHINGTON – Today, U.S. Senator Jerry Moran (R-Kan.) joined James Lankford (R-Okla.) and Chris Coons (D-Del.) and 10 of his colleagues in introducing the Charitable Act to expand and extend the expired non-itemized deduction for charitable giving. The bill would ensure Americans who donate to charities, houses of worship, religious organizations and other nonprofits of their choice are able to deduct that donation from their federal taxes at a higher level than the current deduction.
The deduction became law as part of the CARES Act, passed by Congress and signed into law in 2020 by President Trump. The policy resulted in 90 million tax returns utilizing the deduction, and households making between $30,000 and $100,000 saw the largest increase in charitable giving. Charitable organizations received $30 billion in increased donations as a result.
“Americans continuously demonstrate their generosity and their desire to help those in need through their charitable giving,” said Sen. Moran. “Updating our tax laws will help reward and incentivize more charitable donations to provide resources for individuals who need help.”
“America’s first safety net should never be the government—government is the least efficient caregiver by far,” said Sen. Lankford. “Our families, churches, and other nonprofits do incredible work to lift up those who need it most. Updating the tax law to incentivize giving empowers Americans to make an even bigger impact for the homeless, hurting, and hungry.”
“Delawareans have always risen to the occasion in support of our communities,” said Sen. Coons. “Last year, Americans demonstrated our generosity by donating a collective $557 billion to charities, houses of worship, and nonprofits. I am proud to reintroduce the Charitable Act with Senator Lankford to help the federal government encourage even more Americans to embrace the civic virtue of giving to those in need.”
The senators were also joined by Sens. Catherine Cortez Masto (D-Nev.), John Hickenlooper (D-Colo.), Pete Ricketts (R-Neb.), Amy Klobuchar (D-Minn.), Raphael Warnock (D-Ga.), Jeanne Shaheen (D-N.H.), John Curtis (R-Utah), Marsha Blackburn (R-Tenn.), Katie Britt (R-Ala.) and Tim Scott (R-S.C.).
This bill is supported by numerous organizations including National Council of Nonprofits (25,000 member organizations), Charitable Giving Coalition (175 member organizations), the Nonprofit Alliance, Faith & Giving Coalition, Leadership 18, Independent Sector, YMCA, Council on Foundations, American Endowment Foundation, Philanthropy Southwest, Christian Alliance for Orphans, Ethics & Religious Liberty Commission, United Philanthropy Forum, National Association of Charitable Gift Planners, Association of Art Museum Directors, ECFA, Association of Fundraising Professionals, Council for Advancement and Support of Education, Americans for the Arts, American Heart Association, Oklahoma Center for Nonprofits, Delaware Alliance for Nonprofit Advancement, Maryland Nonprofits, Boys and Girls Club of America and March of Dimes.
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