MassBudget: Why Highest Incomes in Massachusetts Receive Most Tax Benefits from Charitable Deduction
ITEP Work in ActionOur Commonwealth does best when all people experience rising prosperity. But for several decades, the wealth and income of the top 1 percent of households has grown briskly while others have been left behind. While there are many reasons for this trend, one contributing factor is the way the federal tax deduction for charitable giving disproportionately rewards the giving of those with incomes over $1 million compared with donations made by moderate- and low-income tax filers.