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Friday, January 5, 2018

Tax Avoidance - Part 2

An earlier post on this blog noted that there are proposals to use charitable deductions to get around the $10,000 cap on federal income tax deductions for state taxes embodied in the new tax law. We noted that this idea predates the current debate and was featured in a chapter in the 2013 edition of California Policy Options co-authored by UCLA law professor Kirk Stark.*

Prof. Stark was interviewed yesterday on KCRW's "Press Play" program about the idea in the new context. He notes that there are already precedents for the idea in effect and that it would be complicated for the IRS to overturn such an arrangement in California without affecting other programs in other states. You can hear the interview at the link below:

You can also go directly to:
https://www.kcrw.com/news-culture/shows/press-play-with-madeleine-brand/national-security-reporter-on-washingtons-marketplace-of-secrets/california-floats-plan-to-let-you-donate-your-state-taxes-charity-style
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*http://uclafacultyassociation.blogspot.com/2018/01/tax-avoidance.html

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