Non-Profits and Tax Policy: Not a One-Sided Equation

By Linda M. Czipo

Recently, the Star-Ledger ran an opinion column by a prominent Rutgers University faculty member regarding the changing tax policy landscape for tax-exempt organizations and calling for a variety of reforms to address the problems identified by the author.

Presumably, a major impetus (but not the only one) behind this piece is the recent debate surrounding the property tax exemptions of New Jersey’s largest hospitals and universities.

Perhaps I might have been less dismayed by the article had it focused more specifically on the pros and cons of tax exemption for these mega-institutions (or, for that matter, of providing tax incentives to large for-profit corporations for locating within particular municipalities). But as written, the column contains a number of sweeping generalities and misleading and inaccurate statements regarding the entire non-profit community that cannot go unanswered.

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