Two Illinois congressmen are pushing to level the playing field for small businesses that make charitable contributions. Right now, mom-and-pop shops don’t get the tax breaks awarded to large corporations.
Rep. Aaron Schock, (R) Illinois, and Rep. Bobby Schilling, (R) Illinois, are leading the charge in Washington to change that.
Inside the NAEIR warehouse in Galesburg, workers fill orders for clients across the country. It gets excess merchandise from companies and distributes it to non-profit organizations. But tax deductions only favor large companies.
“Small business corporations get no deduction,” said NAEIR President Gary Smith. “It’s just like they were to throw it away.”
That’s prompting a call for change from Schock and Schilling. They came to the Galesburg business on Thursday, backing legislation that would give small businesses the same incentives to donate.
“By allowing 75% of the businesses right now this same deduction, it will increase the goods that organizations like NAEIR can give away,” said Rep. Schock.
The legislation is designed to help small businesses that donate to charitable organizations. It aims to level the playing field and boost the economy.
While NAEIR could tap thousands of potential small businesses, it also opens the door for small businesses to allign with local agencies.
“We’re in a down time throughout our communities,” said Rep. Schilling. “Anybody that can give donations and help out people that are really hurting is a good thing to do.”
With NAEIR’s client base needing more help than ever, this change could help agencies to chart a new course.
“That compassion and business application come together,” Smith said. “It’s a perfect marriage for both the businesses and for the non-profits.”
At this Galesburg company, it could mean incentives for the future.