Not content to destroy the stock market, our ambitious new president who has only one agenda–income redistribution– is now looking at steps to make sure charitable giving is directed from Washington, and not from our established charities that have served us so well for decades. Established charities just don’t do it right. They, like so many of us, need guidance from our government. Last week, Northern Trust sent almost $2 billion back to Washington to avoid any further guidance from government or the media. Bill O’Reilly, always the modest one, took full credit for that. Sorry Bill, they could have tolerated fools like you, it’s fools like Kerry, Frank, Dodd, and our other esteemed leaders they couldn’t abide. So, now we have a price tag on government interference. One institution says it worth almost $2 billion to avoid that help. Wow.
On October 23 with the title:” No need to contribute to charity with president Obama”, this blog predicted his tax proposals would let him take over the work I go through each year to decide which charities we donate to and then do the actual work of making the donations. I’m not crowing, but the announcement that Obama’s new tax plan will limit deductions is now fact. When I get all the calls asking for donations, as promised, I now say: President Obama now handles my charitable giving for me. I give him more tax money and he distributes it to the people who need it. It’s out of my hands, call the president. So far, it shortens the telephone conversation. Guess the callers “get it.”
But, it could get worse. Very powerful factions are at work to change the rules for charities. Politicians and activists are trying to mandate that foundations are forced to give 50% of all donations to:” benefit lower-income communities, communities of color, and other marginalized groups, broadly defined.
Is this just a start to direct all philanthropy? Does this mean the United Way could be forced to follow this formula? Some think both of those may come to pass.
Well, the tax law change and the economy should do serious damage to normal charitable giving this year. Reduced deductions and bigger taxes on those inclined to give bigger amounts should hit all charities hard. If the next phase of the “big plan” happens, it could put some very big established charities that do very good work right out of business.
You see, income redistribution is only intended to work one way. The government makes the calls. You don’t make them, charities don’t make them, need is not part of the deal. Your benevolent government makes the calls. It’s called keeping the power centralized. We’ve seen it in Cuba, Russia, and lots of places in our lifetimes. Now we are going to see it in America of all places. So many people have given their lives to keep us from this and now we voted it in by buying one word “change.”
