How the Tax Cuts and Jobs Act Changed Charitable Giving

The 2017 Tax Cuts and Jobs Act nearly doubled the standard deduction, which had an unexpected effect on charitable giving in America. In this episode, Lucas and Luna explore how the number of households itemizing deductions dropped from roughly 30 percent to about 10 percent, and what that meant for donations to nonprofits. They look at the specific data from the American Enterprise Institute and the Urban-Brookings Tax Policy Center, discuss how charities responded by creating donor-advised funds and bunching strategies, and ask whether the charitable deduction still works as a policy tool to encourage giving. Lucas brings in the example of a mid-sized food bank in Ohio that saw its donor base shift from many small givers to fewer large ones. Luna pushes back on whether the deduction is really about incentives or just a subsidy for wealthy donors. This is a focused, numbers-driven conversation about one concrete consequence of the biggest tax reform in a generation. #TaxCutsAndJobsAct #CharitableGiving #StandardDeduction #ItemizedDeductions #DonorAdvisedFunds #TaxPolicy #Nonprofit #Philanthropy #Economics #FiscalPolicy #UrbanBrookings #AmericanEnterpriseInstitute #Bunching #TaxReform #WealthInequality #FexingoBusiness #BusinessPodcast #TaxPolicyPodcast Keep every episode free: buymeacoffee.com/fexingo