Charities Face Projected $5.7 Billion Yearly Hit From Tax Change

Changes in the tax law signed by President Donald Trump last year are estimated to cost charities billions of dollars annually, according to a new study by Indiana University’s Lilly Family School of Philanthropy.

Overall, funding to charity is likely to drop by $5.7 billion per year from the law, the research finds, despite a new deduction encouraging millions of Americans to give.

The new rules shrink incentives for corporations and rich Americans to give to charity by reducing the amounts they’re allowed to deduct in various ways. Combined, three provisions affecting these deep-pocketed donors are likely to cost nonprofits $10 billion ...