We could lower income taxes by, in part, taxing arts and other nonprofits, but this would reverse the economic benefits to the state from those nonprofits.
Since a nonprofit can’t really raise prices or sell more things as an offset, the nonprofit would cut jobs, cut expenses with local businesses or hours, when I thought we were trying to create jobs and increase local business.
Cutting hours would multiply the effect. A person going to an arts nonprofit (such as theater, concert, museum, etc.) travels to and from, needs accommodations, eats and shops, spreading the economic benefits beyond the arts organization itself.
Education nonprofits use services such as police, fire and also are involved in the community. Bates College students, for example, actively volunteer and the college seeks more opportunities to do so.
They will need help to put out a fire, but they will give you health care and clean up neighborhoods. Health care nonprofits make this clear, in the number of jobs they create and their community involvement. Start taxing any of them, and they will be forced to cut back.
Winthrop Smith
North Monmouth
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