Republicans in Congress and Mr. Trump have mounted a 2-fisted assault on Americans living on poverty incomes.
Fist No. 1: The Republican tax “overhaul” undermines the capacity of non-profit agencies to raise money by reducing the incentive for citizens to donate funds to these organizations (churches, emergency shelters, food banks, free medical clinics, YMCA’s, etc.). The tax “overhaul” increased the income tax standard deduction for individuals and married couples. Tax payers must choose either to use the standard deduction or to itemize things like charitable donations, property taxes, etc., whichever method makes their taxes owed lower.
The Republican tax bill will incentivize a larger portion of taxpayers to use the standard deduction, rather than itemizing deductions that reflects charitable giving. The result: Many people who now give financial support to non-profit agencies may reduce or eliminate those contributions since they will derive no tax benefit from these charitable contributions.
Fist No. 2: Republicans in Congress intend to cut federal funding (calling it entitlement reform) that supports health care, food, housing, child care, etc., to low income and poor people. With less funds, agencies that serve people living in poverty may be forced to reduce or terminate services
Citizen taxpayers have options to resist the this assault. Resistance option No. 1: Use the standard deduction and sustain giving to charitable agencies even though there is no tax benefit. Resistance option No. 2: Decline the standard deduction and, instead, itemize deductions on the tax returns. This resistance option may increase the tax burden on persons who are committed to supporting organizations that serve low income people. Resistance Option No. 3: Vote for a change in national leadership in the 2018 mid-term elections.