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eNews for Faith-Based Organizations
July 9, 2013
Editor: Stanley Carlson-Thies ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ |
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Senators: Zero-Out Charity Deduction Just Like Tax Breaks ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
On June 27 the Democratic and Republican leaders of the Senate Finance Committee wrote to their Senate colleagues with a plan to develop a tax reform bill by starting with zero tax breaks: no mortgage-interest deduction, no special tax treatment for corporate perks, no deduction for charitable contributions, etc. These and other deductions and credits can be added back in if there is a good enough reason to do so, and if the resulting drain on federal tax revenue doesn't get too large. Senators have been asked to make their recommendations of tax breaks to add back by July 26.
This is a good idea, like "sunset" laws that automatically expire after a fixed number of years unless the legislature specifically reauthorizes them. Given how extremely difficult it is to get rid of even those government programs that are widely acknowledged to be of little or no value, it is a good-government tactic to add a "sunset" provision to programs and to zero-out exemptions when it is time to consider reforms.
But the federal government's voracious appetite for revenue means that tax credits and tax breaks won't necessarily get a fair shake from the Senators. Moreover, the federal tax deduction for charitable contributions isn't just another tax break. Taxpayers can claim this deduction only for giving some of their income away to other people! That's not like getting tax help to buy your own house--it's like getting the mortgage interest tax break only if you buy a house for someone else.
Even more important: the charitable donation deduction is designed to reflect and enforce a distinction between government and civil society. According to tax lawyer Alexander Reid, that's why the this tax break was put into the internal revenue code almost a century ago. As he says, as Americans we contribute to the common good by paying taxes that our representatives use to pay for this and that service and item. But we also contribute to the common good by donating from our income to a wide range of charities--here we contribute voluntarily and for specific causes that we each respectively value. This is another way to foster the common good.
The tax deduction for charitable donations facilitates these voluntary gifts, these diverse views of how best to promote the common good. The deduction isn't a government subsidy to the taxpayer but rather the government's recognition that the money that was given away is not money that should be subject to taxation, for the taxpayer is already using this money to foster the common good rather than his or her own good.
Zeroing out tax breaks is a good idea--except that it is an extremely bad idea if it leads members of Congress to think that gaining greater government revenue should be their chief goal and if it leads those members to think that giving a taxpayer a deduction for that taxpayer's gift to the common good is no different than giving the taxpayer a deduction for an activity that primarily benefits the taxpayer.
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Supreme Court's DOMA Decision and Faith-Based Services
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ On the face of it, in striking down part of the federal Defense of Marriage Act in its June 26th decision, Justice Anthony Kennedy and the US Supreme Court merely deferred to the historic right of state governments to decide what counts as a marriage for their respective citizens. The decision leaves intact the laws and constitutional provisions in the 35 states that affirm the historic one man-one woman definition of marriage. Yet, as Justice Antonin Scalia noted in his scathing dissent, Kennedy and the Court's 5-4 majority couched that limited decision in the most inflammatory terms, which will almost certainly lead quickly to the unraveling of both state and federal efforts to maintain the historic definition, a definition affirmed by many religious believers and religious organizations. There is no reasonable justification for the historic definition, Kennedy claims; initiatives to uphold it are really only efforts to denigrate gay people and their children. But, if so, then there is every reason for gay couples in those 35 states to challenge those "hateful" laws and constitutional provisions and every reason for legislators to get busy undoing them. The truth isn't exactly like that--or Kennedy himself and his colleagues would have overturned DOMA entirely, directly imposing same-sex marriage on every state and every private organization. Rather, it is possible for the law, even if it redefines marriage to include same-sex couples, to acknowledge and to protect persons and organizations that, because of religious commitments, maintain the historic view. There is a well-developed series of letters and memos from a group of constitutional law scholars who vigorously advocate that just such an accommodation is not only possible but in fact necessitated by the Constitution's respect for religion. Those letters and memos are a vital resource for legislators seeking to maintain the constitutional good of religious freedom even while changing other fundamental principles of our common life.
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Minnesota (Non) Guidance on Same-Sex Marriage Consequences
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The Minnesota Department of Human Rights recently published guidance on the state's same-sex marriage law that goes into effect on August 1. The guidance notes that legislators "sought to ensure that the legislation would not unconstitutionally infringe upon the rights of religious entities." Did they succeed in that effort? Here's what the MDHR says:
"Religious Exemptions: The new law provides specific exemptions for religious entities from taking part in the solemnization of same-sex marriages. Therefore, a religious entity may choose not to marry a same sex couple as it has exclusive control over its own theological doctrine, policy, teachings and believes [sic] regarding who may marry within that faith."
And
"Other Organizations are Not Exempt: The law does not exempt individuals, businesses, nonprofits, or the secular business activities of religious entities from non-discrimination laws based on religious beliefs regarding same-sex marriage. Therefore, a business that provides wedding services such as cake decorating, wedding planning or catering services may not deny services to a same-sex couple who is planning a wedding based on their sexual orientation."
That's the guidance. That's it. Seems to leave out quite a bit: all those activities of religious organizations and persons beyond the celebration or solemnization of marriages. Vital matters such as: hiring practices and employee benefit policies, the marriage curricula and admissions policies of private religious schools, decisions about who is eligible for married student housing on a religious university's campus, the big question whether an adoption agency can recruit only man-woman married families, whether a marriage counseling service can be closed down if it points out that its understanding of marriage isn't the same as the state's, and so on . . . .
In short, this guidance hardly guides. Or is the MDHR implicitly just stating that the State of Minnesota in fact only protects churches from performing or celebrating same-sex marriage but, for the rest, refuses to protect the religious freedom of faith-based service organizations and religious professionals?
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DOMA Decision and Adoption Law in Michigan
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Just a few days after the US Supreme Court's decision to strike down part of the federal Defense of Marriage Act, a federal judge in Michigan cited language from Justice Kennedy's opinion in deciding not to dismiss a lesbian couple's challenge to the state's ban on adoption by same-sex couples and its ban on same-sex marriage. Notably, the judge referenced Supreme Court language about protecting the rights of children currently being raised by same-sex couples.
Just a note: it is one thing to use equal-protection concepts to strike down a ban on same-sex marriage and a ban on adoption by same-sex couples; it is something quite different to then require every private adoption agency to adopt an identical understanding of marriage, appropriate sexual behavior, and the best interests of the child.
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"Government Money In=Religious Speech Out" Can't be the Rule
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In mid-June, an appeals official in the US Department of Agriculture ruled that the USDA had been wrong to deny a building loan to a Care Net pregnancy resource center merely because a room in the facility will sometimes be used for voluntary religious activities.
The facility supports pregnancy classes and emergency shelter for expectant women and new mothers, well within the purposes of the loan program. And the USDA, like all other federal departments, has Equal Treatment regulations that forbid the exclusion of faith-based organizations from its grant and loan programs merely because the organizations have a religious character or offer voluntary religious activities.
Nonetheless, the original decision claimed that the Care Net center would be eligible for the loan only if religious talk were kept outside the building or kept confined to a particular room. The appeals officer who overturned the loan denial said that such a requirement would mean that, even if a religious discussion was sought and initiated by a client, the client and the Care Net staffer would have to immediately clam up and scoot outside the building or to a designated religion room before resuming the discussion. Such a requirement hardly honors the First Amendment's command to government not to prohibit the free exercise of religion.
Kudos to the Bush administration for promulgating the Equal Treatment regulations, to the appeals officer for following the law, to Care Net for pursuing the matter, and to Alliance Defending Freedom lawyers for supporting Care Net. Thanks to the Obama administration for retaining the Equal Treatment regulations--but a Bronx cheer to the USDA loan program officials who neglected to read and understand those regulations.
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One Reason SSM Legislators Minimize Religious Freedom Protections
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The very extensive damage marriage redefinition causes to the religious freedom of religious organizations and persons was precisely detailed five years ago in Marc Stern's chilling chapter in the book edited by Doug Laycock, Anthony Picarello, and Robin Fretwell Wilson, Same-Sex Marriage and Religious Liberty: Emergency Conflicts (2008). The harms have been carefully spelled out in the series of letters and memos a group of constitutional law scholars have transmitted to every state contemplating the change.
On the other hand, legislators hardly hear about any of these real and serious religious freedom problems from the mainstream media. And why not from the networks and major newspapers? Set aside the huge problem of bias (don't we wish!). Apparently the reporters don't report on these problems because they aren't paying attention to them (this may have something to do with that bias). Or at least one reporter--but a very prominent one--hasn't been paying attention.
The reporter is Bob Shieffer of CBS News, host of Face the Nation. On the June 30th show, after the Supreme Court's gay marriage rulings, Shieffer interviewed Tony Perkins of the Family Research Council. When Perkins noted some of the religious freedom problems that have arisen, Shieffer expressed surprise, admitting that he had not heard of these problems: "How many--how many lawsuits have been filed on that? Because I must say this is under my radar. I haven't--I haven't heard this."
Not the most encouraging thing to hear from the mouth of a trusted and nationally respected reporter . . .
Get Religion has the story here.
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Worrisome Obama Administration Religious Freedom Trends
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* "Advancing the goal of tolerance in society may require denying parents the right to determine their children's education, the U.S. Justice Department argued in a legal brief for the case of a German homeschooling family seeking asylum. . . . Since Germany's mandatory public schooling law applies to everyone, not just homeschoolers, the [Justice] department reasons, it does not discriminate against homeschoolers. In other words, it is reasonable, the Justice Department argues, for Germany to work toward the goal of an open, pluralistic society by forcing the children of religious minorities to attend public school."
--Napp Nazworth, "Banning Homeschools Teachers Tolerance of Diverse Views, Justice Dept. Argues," Christian Post, July 4, 2013.
* "President Barack Obama repeated the oft disproved claim that Catholic education increases division in front of an audience of 2000 young people, including many Catholics, at Belfast's Waterfront hall when he arrived in the country this morning [June 17].
"'If towns remain divided-if Catholics have their schools and buildings and Protestants have theirs, if we can't see ourselves in one another and fear or resentment are allowed to harden-that too encourages division and discourages cooperation,' the US president said."
--"US President undermines Catholic schools after Vatican Prefect praised them," Scottish Catholic Observer, June 17, 2013.
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Multi-Faith Letter Protesting the HHS Contraceptives Mandate
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Venture to the Fortnight for Freedom page of the US Conference of Catholic Bishops' website to read the multi-faith letter protesting the contraceptives mandate
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Worth Reading
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Mary Ann Glendon, "Religious Freedom-A Second-Class Right?" Emory Law Journal, vol. 61, special issue (2012).
"Our legal system's neglect of the associational and institutional dimensions of religious freedom, though punctuated with some notable exceptions, seems to be accelerating. As freedom of religion comes into conflict with claims based on nondiscrimination norms, abortion rights, and various lifestyle liberties, the freedom of religious entities to choose their own personnel, and even to publicly teach and defend their positions on controversial issues, is coming under increased attack. For example, the definition of 'religious employer' in the regulations issued in 2011 by the Department of Health and Human Services is so narrow as to deny conscience protection to most groups that would wish to claim it. Student religious groups at many universities have been denied recognition on the basis of their refusal to ascribe to school policies forbidding discrimination on the basis of religion or sexual orientation. Moreover, the deferential standard of review adopted in Employment Division v. Smith puts a considerable damper on efforts to mount effective legal challenges to restrictions on free exercise.
"These developments have placed church-affiliated hospitals, schools, and social services in a difficult position. Faced with the choice between moral compromise and expensive litigation with an uncertain outcome, many have simply retreated from the field-as was the case when Catholic Charities of Boston decided in 2006 to close down its adoption services rather than mount a full-scale attack on state licensing requirements that would not have permitted it to operate consistently with Catholic teaching about marriage. On the horizon is the prospect that religiously affiliated hospitals may be required to choose between shutting down and providing services that violate their religious beliefs."
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~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ For further information: e-mail: info@IRFAlliance.org website: www.IRFAlliance.org
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| What is IRFA?
The Institutional Religious Freedom Alliance works to safeguard the religious identity, faith-based standards and practices, and faith-shaped services of faith-based organizations across the range of service sectors and religions, enabling them to make their distinctive and best contributions to the common good.
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