Posted on May 22 2025
WASHINGTON, D.C. — The Charitable Giving Coalition (CGC), a diverse group of more than 175 organizations representing America’s charitable sector, applauds the inclusion of the charitable deduction for non-itemizers provision in the House-passed 2025 Reconciliation bill. This long-awaited, bipartisan provision to restore a charitable deduction for non-itemizers is a critical incentive that encourages all Americans to give generously, regardless of whether they itemize their taxes. The bill will now go to the Senate for consideration.
“Restoring and expanding the charitable deduction is a powerful and timely step toward democratizing giving,” said Brian Flahaven, Chair of the Charitable Giving Coalition. “By allowing all taxpayers to deduct a portion of their charitable contributions—$150 for individuals and $300 for married couples for four years—lawmakers are sending a clear message that philanthropy is a national priority and not just a benefit for the wealthy.”
The deduction reinstatement would build on the temporary provisions enacted in the CARES Act, which President Trump signed into law in 2020 and proved highly effective. Charitable donations by non-itemizers increased by $15 billion in 2020—an eight percent increase and by $59 billion—a 29 percent increase in 2021. The largest increase in giving came from lower and middle-income households making between $30,000 and $100,000, and as a result, charitable organizations received $74 billion in increased donations. When the deduction expired at the end of 2021, charitable organizations saw significant declines in smaller donors, an unsustainable trend for the charitable sector. Nonprofits are a critical part of providing aid for vulnerable people in conjunction with all levels of government; decreases in deductions mean fewer causes supported, including food banks, faith-based ministries, mental health services, education programs, and disaster relief efforts.
“The numbers speak for themselves—our nation is a generous nation, but when every American is given the tools to give, they respond with even greater generosity,” Flahaven added. “As the bill advances to the Senate, we urge swift, bipartisan action to make this incentive permanent and raise the cap on the non-itemizer deduction to one-third of the standard deduction, equal to roughly $5,000 for individuals or $10,000 for joint filers, by including the bipartisan Charitable Act (S. 317/H.R. 801) in the final package. Doing so would ensure that every American—not just those who itemize—can continue to invest in the charitable organizations that knit our communities together.”
A permanent charitable deduction for non-itemizers will help ensure a stronger, more resilient nonprofit sector, enabling organizations on the frontlines to meet growing demand for services, expand their reach, and sustain long-term impact.
The CGC will also push to make sure the final package incentivizes all Americans to give more to the charitable organizations that are vital to serving our communities and country.
The CGC extends its sincere gratitude to the lead co-sponsors of The Charitable Act in the House of Representatives—Reps. Blake Moore (R-UT), Danny Davis (D-IL), Carol Miller (R-WV), and Chris Pappas (D-NH)—for championing this policy and recognizing the essential role charitable giving plays in strengthening communities across the nation.
For years, the Charitable Giving Coalition has advocated for the bipartisan, bicameral Charitable Act to restore and expand the expired charitable deduction for those who do not itemize on their tax returns. Specifically, this legislation raises the cap on non-itemized deductions to one-third of the standard deduction, equal to roughly $5,000 for individuals or $10,000 for joint filers.
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