Should University Donations Trigger Tax Breaks for the Wealthy?

Universities big and small receive donations from many different sources, including wealthy alumni. However, not all donations are created equal and because the wealthy donors get a huge tax break for their significant donations, some wonder if that is really fair.
For example, Nike co-founder, Phil Knight, recently donated $400 million to Stanford, where he attended business school. That donation will give Knight a $158 million tax break. Some find that in of itself unfair, but others question why some schools, which already have deep pockets anyway, get such large sums of money without being taxed for it? Plus, the majority of the donations are given to these top schools, while other less prestigious universities are often left scrambling for much-needed resources.
However, on the flip side, many donors would argue that they make these donations for true philanthropic purposes and not for the added benefit of a large tax break. Some counter-argue that all the donation money could be used for better purposes. However, there’s no question that the nation’s top universities help the country in many industries, as well as give the economy a boost in many forms as well, including training thousands of the brightest minds.
Of course, it’s an argument that has no easy answer, but probably one that won’t get much traction, because wealthy alumni have always been able to donate their money to the universities or causes they choose. That is not likely to change any time soon.
Don’t Confuse Fact With Fiction Come Tax Time
Don’t Confuse Fact With Fiction Come Tax Time Are you one of the tens of millions of people who have already done their taxes? Or, are you one of those taxpayers that like to wait till the very end? Either way, there are some important facts to keep in mind, whether for this year, or…
Is Cryptocurrency Just a Big Pyramid Scheme?
Is Cryptocurrency Just a Big Pyramid Scheme? So what’s new in the world of cryptocurrency? That all depends on the day. In fact, sometimes things can change hourly with digital currencies. Just do a quick Google search and chances are you’ll find all kinds of stories about crypto. For example, we just did that very…
IRS Looking Closely at Coinbase Accounts for Tax Dodgers
IRS Looking Closely at Coinbase Accounts for Tax Dodgers Cryptocurrency owners with Coinbase accounts beware. If you hadn’t already heard by now, then consider this your fair warning. The IRS is coming after Coinbase accounts in search of possible tax cheats. Coinbase is the largest U.S. platform for exchanging cryptocurrency, including Bitcoin, with close to…
Make Tax Time Retirement Saving Time
Make Tax Time Retirement Saving Time Tax time is a great time to do a little retirement planning. Even if you already have a retirement plan set up, you can give that plan a boost at tax time. The problem is, many taxpayers aren’t aware of the savvy tax moves that will help with both…