this post was submitted on 19 Mar 2024
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They shouldn't be tax exempt either. If they generate profit, they should pay tax on it. Subsidies are used to benefit specific activities, and they are easier to investigate for fraud as to whether the subsidy is spent as intended.
exactly, yes, we agree.
if they generate profit, they should pay tax on it. boom bap done. π
ps i found this form where you can report entities which you believe may be violating the rules by generating profit or engaging in political activities.
I think we agree to an extent, but I now believe that we should end tax exempt status completely. Remove (Title 26, Subtitle A, Chapter 1, Subchapter F - Exempt Organizations) from the U.S. Code entirely. There are too many convoluted exceptions, and it generally doesn't benefit citizens to pick and choose who pays tax and who doesn't depending on what they do.
understood! i think you may have lost me and a lot of people there though. non profits do a lot of good and their exemptions are a key part of incentivising that good.
I don't think it's that simple. I think we should get rid of the status entirely. There are plenty of nonprofits that don't do good.
https://en.wikipedia.org/wiki/Turning_Point_USA#Controversies