Obama plans to reduce the tax deduction that people will be able to take for charitable giving.
Obama claims that the charities should not worry because he doesn't believe they will be negatively affected. This is evidence of what I call the Liberal Dilemma. Basically, it states that liberals like increase taxes to curtail certain activities (smoking, drinking, etc.), but
The Wall Street Journal reports that charities are right to be concerned. Charities could see a reduction of 1.3% according to The Center on Budget and Policy Priorities. The Center on Philanthropy at Indiana University calculates they could see losses of 2.1%.
This means Obama's plan would effectively tax the already-struggling American Red Cross $86.1 million dollars! Who will come to the aid of the Red Cross when this government-sponsored disaster strikes?
The so-called "compassionate" left doesn't seem to mind this plan, however probably because liberals just plain suck when it comes to charitable giving.
The following statistics from Real Clear Politics prove it.
- Although liberal families' incomes average 6 percent higher than those of conservative families, conservative-headed households give, on average, 30 percent more to charity than the average liberal-headed household ($1,600 per year vs. $1,227).
- Conservatives also donate more time and give more blood.
- Residents of the states that voted for John Kerry in 2004 gave smaller percentages of their incomes to charity than did residents of states that voted for George Bush.
- Bush carried 24 of the 25 states where charitable giving was above average.
- In the 10 reddest states, in which Bush got more than 60 percent majorities, the average percentage of personal income donated to charity was 3.5. Residents of the bluest states, which gave Bush less than 40 percent, donated just 1.9 percent.
- People who reject the idea that "government has a responsibility to reduce income inequality" give an average of four times more than people who accept that proposition.
Besides, liberals don't need tax deductions since they only pay them when they are appointed to a cabinet position.