Remember this headline? 71 STUDENTS ARRESTED IN TUITION PROTEST ON RUTGERS’ HOME CAMPUS (Philadelphia Inquirer – May 13, 1989)
“Rutgers University students and police clashed yesterday when officers moved to break up a sit-in at the dean’s office by students protesting 13 percent tuition increases…”
Yes, Rutgers in 1989 raised their tuition by 13% and 71 students rioted and got arrested.
On January 1, 2013, tax rates are scheduled to increase as follows:
- Dividends by up to 190%
- Capital gains by up to 59%
- Income tax by up to 13%
- Estate tax by around 290% (for someone with approximately $10 million in assets)
You would think that people might be upset. Sit-ins, no. But, media coverage…where is it?!
Of course, those in the fundraising arena, planned giving in particular, need to be ready for what might be the most favorable tax-incentivized atmosphere for planned gifts since the late 1990s.
By the way, the tuition increase at Rutgers in 1989 amounted to a $296 bump that brought the Fall 1989 in-state tuition to $2,576! Boy have times changed.
You did not mention the following: the likely reduction in the income tax charitable deduction next year, the return of the payroll tax to 6% and the probable reduction of the Federal gift tax exemption from $5.1 million back to $1 million.
Fun, fun, fun to come.