Fiscal & Philanthropic Policy Workbench

Charity Tax Break Impact & Reform Simulator

Quantifying the fiscal efficiency, equity incidence, and welfare trade-offs of charitable giving subsidies.
Model: Empiric Decile Elasticity
Benchmark: $65.4B Baseline Loss

Policy Architecture REFORM

Elasticity & Behavioral Parameters

Price Elasticity of Giving (η) -1.10
Top Marginal Rate (Decile 10) 37%
Median Bracket Rate (Deciles 4-6) 12%
Top Decile Giving Concentration 78.2%
Net Federal Revenue Delta
+$18.60B
Aggregate Giving Delta
-4.20%
Bottom 80% Participation
+31.5%
Progressivity Shift Index
+0.42
Social Efficiency Ratio
1.38x

Subsidy Capture vs Income Deciles

Current Subsidies
Selected Reform

Philanthropic Target Allocation ($B)

Elite / Endowments
Basic Needs & Public Welfare

Distributional Incidence & Effective Tax Relief by Decile

Income Group Baseline Share Effective Marginal Subsidy New Price of Giving Estimated Giving ($B) Tax Expenditure ($B)
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