Bill to Extend Charitable Giving Incentives Fails to Pass

The House of Representatives has failed to pass legislation that would have permanently extended three tax credits for charitable giving, The Hill reports.

While the bill got a majority of votes from House members, it fell eight votes short of the two-thirds majority needed for passage under an expedited voting procedure, with 149 Democrats voting no after Democratic leadership urged its caucus to vote against the bill and President Obama, who said the $11 billion cost of the credits should be offset, threatened to veto it.  

The vote ends a last-ditch effort by nonprofit groups and Congress's top tax writers, House Ways and Means Committee chair Dave Camp (R-MI) and Senate Finance Committee chairman Ron Wyden (D-OR), to get the three provisions into law for good after a broader deal that would have accomplished the same thing that fell apart last month. According to The Hill, the bill faced a difficult road in the Senate had it cleared the House.

In the aftermath of the bill's failure, nonprofit sector leaders expressed their disappointment. "The provisions in this bill would have had a real and positive impact on communities across the country served by the philanthropic sector," said Council on Foundations president and CEO Vikki Spruill. "We will continue to work closely with members of Congress to see that these charitable provisions are enacted into permanent law. Permanence would allow donors and charitable organizations alike to better plan their charitable investments — resulting in more dollars flowing to charitable causes."

Bernie Becker, Cristina Marcos. "House Dems Block Charitable Tax Bill." The Hill 12/11/2014.