Bradley Partner Bruce Ely Quoted in Bloomberg Law on Result of SALT Rules on School Choice Groups
September, 2020 - United States of America
Bradley attorney Bruce Ely was quoted in Bloomberg Law on how recent Treasury Department/Internal Revenue Service regulations have adversely affected some school choice groups. The IRS rules were part of the agency's crackdown on workarounds of the $10,000 limit on state and local tax deductions. Some school choice groups at the center of the Trump administration's signature K-12 education policy say these rules, especially when combined with the impact of the COVID-19 pandemic, are hurting their fundraising, leading some to freeze or cut down on scholarships offered this year.
"It's been a real double whammy," said Ely.
However, not all scholarship organizations have struggled to raise money after the IRS rule changes. The Georgia Goal Scholarship Program has hit the state cap for tax credits for the past two years.
The Trump administration has emphasized to scholarship groups that C corporations and pass-through business entities can continue to make tax-deductible contributions to scholarshipgranting organizations under the August SALT rules, Ely said.
The original article, "DeVos-Backed School-Choice Groups Hurt by SALT Rules Crackdown," appeared in Bloomberg Law on September 14, 2020.
