If you thought your Christmas to-do list was long -- you should see Congress's! Before dipping into the wassail, members in both chambers are scrambling to finish up seven spending bills, criminal justice reform, welfare reauthorization, and a sleigh of other issues before sprinting home for the holidays. But there's one bill that conservatives are especially interested in seeing under their tree this year – and that's the Retirement, Savings, And Other Tax Relief Act of 2018 (H.R. 88).
After Ways and Means Chairman Kevin Brady (R-Texas) overhauled his first draft, House Republicans are ready to ship the proposal to the floor. When they do -- most likely on Thursday -- churches, pastors, nonprofits, pro-lifers, and free speech advocates will be happy to see that some of their biggest priorities are included.
FRC's David Closson explains what's at stake in this new op-ed for Western Journal. The Tax and Jobs Act of 2017 has been a boon for families and businesses, he agrees. But, "a little-noticed provision in the legislation also created a new tax on nonprofits, which includes churches and other houses of worship -- under which they will now be taxed for the cost of parking and providing transit benefits to employees. If not repealed, the results of this provision could be devastating for religious schools, charities, and churches -- many of whom may be required to file state returns and possibly pay state income tax."
The House can fix this problem this week by passing Brady's bill. Without it, David points out, "churches and nonprofits will have to pay $1.7 billion over the next 10 years, drastically reducing their ability to serve their communities. Not only will it fix this tax issue, but H.R. 88 will gut the Johnson Amendment, which has stifled and chilled the free speech rights of pastors and 501(c)(3) leaders to speak on 'political matters. Additionally, this bill will recognize unborn children for the first time ever in the tax code, allowing parents, grandparents, or other relatives to open 529 educational savings accounts for an unborn child."
The power to tax, Chief Justice John Marshall observed, "involves the power to destroy." To see how, read the statistics in David's column. Then, pick up your phone and call your congressman before tomorrow's vote. Ask them to support H.R. 88!
Tony Perkins' Washington Update is written with the aid of FRC senior writers.