Center for Nonprofit Advancement->: "Legislative Action Alert

Center for Nonprofit Advancement: "Legislative Action Alert
Senate Finance Committee Works to 'Reform' Charitable Sector


The Senate Finance Committee currently is developing legislation that could significantly affect the charitable sector. The Committee is prepared to draw many of its �reforms� from a 19-page �staff discussion draft� and from the January 2005 Joint Committee on Taxation report that contain a number of proposals designed to increase regulation and accountability of the nonprofit sector. However, these two documents recommend potentially harmful provisions, including:
the elimination or modification of the non-cash gift deductions;
the implementation of a federal accreditation program (possibly requiring charities to pay accreditation fees and dues);
the creation of Form 990 filing fees to be imposed on charities;
state enforcement of federal tax laws that likely would result in 50 different interpretations;
restrictions on the size of boards of directors; and
a requirement compelling charities to submit extensive and detailed "