AHP's Churchill to Warn Trinity Health System's Philanthropy Conclave About Attacks on Charitable Tax Deductions

DETROIT, March 24, 2015 /PRNewswire-USNewswire/ -- The president of North America's largest association of development executives for nonprofit health care institutions is warning members to be on the alert to defend against attacks on charitable tax deductions.

Steven W. Churchill, president and CEO of the Association for Healthcare Philanthropy (AHP) will address the Trinity Health System's 2^nd Annual Philanthropy Conclave March 26 in Detroit. In his talk about current trends in philanthropy, Churchill will single out as a negative trend repeated bids in federal budget proposals to significantly limit tax deductions that so-called high-income earners may take on charitable contributions.

The most recent such plan appeared in the Obama Administration's February budget outline for FY 2016, starting Oct 1, 2015.  If enacted, it would limit the deduction to 28 percent for individuals earning more than $200,000 and couples whose incomes exceed $250,000.  The effect would be a 30-percent drop in the deduction they may take for their donations.

"Philanthropy offered with good faith and laudable intentions should not become a political football," says Churchill.  "The administration's budget is not likely to be approved by a deadlocked Congress this year, but charity-dependent institutions such as nonprofit hospitals cannot afford to relax their vigilance."

Churchill emphasizes the unique character of charitable deductions as incentives for individuals to give away a portion of their income to those in need. 

"The deduction sends a strong message, because it officially encourages, recognizes and affirms individual citizens' generosity," he says. "This is vitally important, because the Charitable Giving Coalition estimates that those in need receive $2.50 of benefit for every $1 of tax benefit going to the donor."

Among positive steps nonprofit health care organizations can take is to formulate detailed "case statements" that spell out the rationale and justification for their fundraising efforts.

Churchill points out that such documents, which often are very technical, should be written with "strong doses of passion and inspiration" not only to encourage donors but also to convince lawmakers of the importance of their continued support of philanthropy.

AHP, established in 1967, is a not-for-profit organization whose 4,700 members manage philanthropic programs in 2,200 of North America's 3,400 not-for-profit health care providers.

SOURCE Association for Healthcare Philanthropy

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