by Ashley Coldiron, Chief Development Officer
There’s been a lot of buzz around H.R. 1 (the “Big Beautiful Bill”) which passed the U.S. House on May 22 by a narrow vote. As it heads to the Senate, changes are expected—so nothing is final yet. Still, it’s smart to be aware of provisions that could affect charitable giving.
Here’s what we’re watching—and how it might matter to you:
- Estate Tax Exemptions. The current individual exemption of 13.99M ($27.98M for couples) is set to sunset at the end of 2025. Under the proposed legislation, these higher exemptions would become permanent. Either way, charitable gifts can be an effective tool for managing estate taxes and leaving a legacy aligned with your values.
- Standard Deduction. The bill proposes extending the higher standard deduction levels through 2028, with a modest “above-the-line” eduction for charitable gifts: $150 for individuals or $300 for joint filers. While most people give for reasons beyond tax savings, we’re here to help you structure giving that works for your financial and philanthropic goals.
- Private Foundation Excise Taxes. Proposed changes would increase taxes on large private foundation investment income, but foundations under $50 million in assets would not be affected. Donor advised funds at the Community Foundation offer a flexible alternative—with less regulation and lower cost.
So what’s next? The Senate is expected to begin reviewing the bill in June, with potential action stretching into late summer. We’re watching closely and will keep you updated.
In the meantime, if you’re updating your estate plan or exploring new ways to give, reach out. We’d be honored to partner with you and your advisors to help you make a meaningful, lasting difference.