Statement Before the Tax Reform Tax Force
The Church of Jesus Christ of Latter‑day Saints acknowledges the thoughtful efforts of many in state government to review and improve Utah's tax structure. The Church has followed with interest press reports of efforts by Governor Walker’s administration, the legislature and Governor Huntsman’s administration in the public debate of tax reform. Please note that the Church has not previously and does not today take any position regarding what is termed the “flat tax proposal.” Instead, as it has consistently done in the past, the Church reiterates today its support of retaining a state tax deduction for charitable giving. The Church believes that such a deduction can be included within the context of a flat personal income tax.
Like other charitable organizations providing public comment today, the Church has consistently made known its strong support of state tax deductions for charitable giving. The Church’s position on this matter has been a matter of public record for a considerable period, including statements made by the Church nearly twenty years ago. More recently, the Church released public statements in May and August of this year.
The Church joins with most charitable organizations in the belief that our community is best served by providing tax incentives for the support of charitable activities. For the overall good of the citizenry, the state tax system should continue to provide tax deductions for charitable giving—including religious contributions. Charitable contributions help provide for society's poor and needy, fund education and the arts, and meet other important social needs beyond the reach of government resources. Charitable contributions provide the primary, and often the only, support for programs that alleviate suffering, educate the citizenry, reduce violence, increase health and wellbeing, promote tolerance, strengthen families and otherwise increase human potential.
Retaining the deductibility of charitable contributions may help to build a culture of giving by creating an incentive to contribute. In this sense, the deduction helps establish a norm or societal expectation that should be a hallmark of Utah society and culture—Utahns care, and they show that caring through giving of their substance. The Church’s scriptures enjoin mankind that we “should impart of [our] substance to the poor, every man according to that which he hath, such as feeding the hungry, clothing the naked, visiting the sick and administering to their relief, both spiritually and temporally, according to their wants” (Book of Mormon, Mosiah 4:26). Those who would not otherwise be willing to make charitable contributions may be more likely to make charitable contributions if afforded a state tax deduction for their charitable giving. Individuals and entities that are inclined toward charitable giving may contribute more liberally if the deductibility of their charitable giving continues.
Many individuals, families and organizations derive great benefit from charitable giving. In addition to providing support for basic needs, education and the arts, other areas served by the many charitable organizations operating in our community include health and related research, human services, the humanities, the environment, and other public needs. Indeed, the Church is not only the recipient of charitable contributions from its members and others, but is a substantial contributor to other charitable organizations, including aid programs operated by other churches. The many societal benefits resulting from the efforts of charitable organizations help increase the quality of life for those who receive assistance.
The Church commends the worthwhile objectives of the many charitable organizations operating in our community and elsewhere, and invites the task force and the legislature, in their important work to consider Utah tax reform, to retain the income tax deduction for charitable giving.
Thank you very much.
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