Governor Objects to ‘Politically Motivated’ IRS Charitable Regulations

October 16th, 2018

On Thursday, Gov. Cuomo called on the Internal Revenue Service (IRS) “to withdraw proposed charitable donation regulations that take aim at New York’s program to mitigate the impact of the federal elimination of full state and local tax deductibility.”

The Governor and state lawmakers created a mechanism in which individuals could make voluntary contributions to charitable funds established by local and state governments in order to circumvent the $10,000 cap on state and local tax deductibility that was enacted as part of the 2017 federal tax law reforms.

(Read the Governor’s letter and the state’s formal comments.)

The Governor argues that the IRS’s proposed regulation blocking the charitable deductions “has no basis in law.” He wrote:

“In taking aim at our charitable contribution programs, the federal government is once again revealing its true hostility toward New York. These proposed regulations continue the politically motivated economic assault on New York that started with President Trump and his allies in Congress. The IRS should not be used as a political weapon.”