Affiliation:
1. Lee Kuan Yew School of Public Policy National University of Singapore Singapore Singapore
2. School of Public Policy University of Maryland, College Park College Park Maryland USA
Abstract
AbstractThis paper considers the effect of state charitable giving tax credits on the contribution revenues of eligible charities. Using event studies paired with Form 990 data, we detect no significant change in contributions to qualified nonprofits after the elimination of a $100 per taxpayer credit by Michigan. By contrast, we find a significant increase in contributions to qualified charities following the introduction of a $10,000 per taxpayer credit by North Dakota that persists for several years. The results suggest that placing a large cap on charitable giving tax credits induces stronger donor responses.
Funder
Lee Kuan Yew School of Public Policy, National University of Singapore
Subject
Public Administration,Economics and Econometrics,General Business, Management and Accounting