Tax Exemption Legislation Could Be Good News for Political Donors

The Republican lead Congress recently passed some new legislation – without garnering much attention at all – that could be a big boon for major donors of political organizations and groups. The bill could protect big donors from having to pay gift taxes on their large donations to these political groups.
The bill, which is headed to the senate, could make way for even more donations in coming years from nonprofit groups that are registered as 501(c) groups, especially in 2016, the country’s next presidential year. Right now, it appears that these big donors rarely pay taxes on their large donations, but as it currently stands the law does not offer specific protection from being assessed with gift taxes. That fact makes some donors a little nervous that the IRS could come knocking.
However, the new piece of legislation that Congress just recently passed would make it clear that gift taxes would not apply to groups that are registered under the Tax Code sections 501(c)4, (c)5 or (c)6. That means most of the big donor organizations that are registered under these sections would be immune from paying gift taxes.
This would obviously be good news for the many ultra-wealthy individuals who are deeply involved in politics and political movements. By having assurances that their donations would never be subject to the gift tax, the amount of money they can donate could increase even more.
Legacy of Service | Cliff Dochterman
About Cliff Dochterman Cliff Dochterman served as the World President of Rotary International from 1992-1993. His professional career was spent in the field of higher education administration. As a youth, being motivated by his brother, Cliff became part of the Boy Scouts of America where he obtained the rank of Eagle scout. He has…
Where does Happiness Come From? | Richard Del Monte
About Richard Del Monte Richard is a CERTIFIED FINANCIAL PLANNER™, Certified Wealth Consultant, and nationally recognized expert on Families and Wealth. Richard has been featured on FOX Business News, The Wall Street Journal, New York Times, Private Opportunities Club, Private Wealth Magazine, Trust & Estates, and Family Wealth Report. A sought after speaker, he…
The Future of Health Care | McKay Thomas
About McKay Thomas Since he was in high school, McKay Thomas has been an entrepreneur. Some of his companies have been, pooltables.com, baby.com and ainda.com Currently he is the co-founder and CEO of First Opinion, a company which matches a personal doctor to to their clients that they can contact 24 hours a day.…
Attention Triggers | Ben Parr
About Ben Parr Ben Parr is an award-winning journalist, author, entrepreneur, investor and expert on attention. Through his unique experience as a leading technology writer, venture capitalist and prolific public speaker, Parr has coached dozens of young startups and Fortune 500 corporations on how to get attention for their products. He was named one…