April 18, 2018

Wise Giving Wednesday: Will U.S. Tax Code Changes Impact 2018 Giving?

Last month, a previous Wise Giving Wednesday blog addressed the issue of deducting donations at tax time and expressed charity concern that changes in the U.S. Tax Code in 2018 could impact giving this year. Among other changes, the standard deduction in 2018 would increase to $12,000 per individual and $24,000 per married couple. The speculation is that if more people decide to take the increased standard deduction rather than itemize their tax return, there may be less motivation to contribute.

As noted in The Chronicle of Philanthropy, a study released by the Nonprofit Research Collaborative (a combined effort of several organizations, such as  the Association of Fundraising Professionals, that address fundraising issues) involved over 1,300 organizations. One of the survey questions asked:

What is your organization expecting as a result of the tax law changes?  The answers were as follows: 

41% Project no change in giving by individuals,

28% Indicated there are too many changes to make a guess,

21% Project decreased charitable support from individuals, and

10% Project increased charitable support from individuals. 

The above results point to uncertainty as to whether this 2018 change will have an overall positive or negative impact on giving. The cited study provides additional details on the above responses as well as information about fundraising results these organizations experienced in the previous year.   

While we hope U.S. contributions will not decrease in 2018, BBB WGA continues to encourage donors to check out charities at Give.org before making a donation. 

Video of the Week 

As part of our Building Trust Video Series, we are pleased to provide a video featuring Rev. Steven E. Boes, President & National Executive Director, Boys Town (a BBB Accredited Charity) which seeks “to change the way America cares for children, families and communities by providing and promoting an Integrated Continuum of Care® that instills Boys Town values to strengthen body, mind and spirit.” Boys Town programs range from preventative services in the home to restrictive out-of-home placements for children with severe behavioral and mental health disorders. In between this range are school educational programs, in-home family counseling services, traditional and treatment foster care, short- and long-term family style residential programs and specialized group homes.  


Finally, remember to let us know by going to https://www.give.org/ask-us-about-a-charity1/ if you are  interested in seeing a report on a charity not on our list and we will do our best to produce one.    

H. Art Taylor, President & CEO
BBB Wise Giving Alliance