New York Legislature Passes Plan to Limit Charitable Deductions for the Wealthy

Nonprofit organizations across the country are concerned that a budget plan on the verge of adoption in New York State limiting charitable deductions for “high earners” could catch on with other cash-starved state governments — and Congress — and cause a loss of significant contributions.

New York passed a budget plan that has a provision that would cut deductions taxpayers who earn more than $10 million annually can claim in half.