Thank you to all the Colorado nonprofits who signed onto letters of support for the PATH Act, met with their members of Congress, called and sent emails, and posted on social media. It has taken years of work throughout the nation to make these charitable giving incentives and tax credits for families permanent!
About Charitable "Tax Extenders"
In 2006, Congress first adopted giving incentives for food inventory, conservation easements, and the IRA rollover for a two year period as part of the Pension Protection Act of 2006. Since 2008, these provisions have been up for renewal every two years. Frequently, they have been renewed along with a package of temporary “tax extenders” – specific tax provisions benefiting individuals and businesses.
Occasionally, Congress renewed extenders late in the expiration year or renewed them retroactively. Nonprofits likely missed out on many possible gifts, such as donations of fresh produce, because these incentives were not available at the time. Nonprofits made several attempts to make these charitable giving incentives permanent especially the 2014 and 2015 America Gives More Act and the 2014 Supporting America’s Charities Act.
Past bills included provisions to set a simple 1 percent excise tax rate on private foundation's investments and allow taxpayers to deduct contributions made through the tax deadline in the previous tax year. But these provisions were not included in the PATH Act.
- National Nonprofits’ Letter of Support for the Supporting America’s Charities Act.
- 2014 letter urging Senators to support the America Gives More Act
- Independent Sector’s webpage on tax extenders
- National Council of Nonprofit’s page on the America Gives More Act
- Council on Foundations “Activate in August” Advocacy Toolkit