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To tax or not to tax? Maine mulls property tax on non-profits




A new proposal could make Maine the first state to tax nonprofits
A new proposal could make Maine the first state to tax nonprofits
Photo by 401(K) 2012 via Flickr Creative Commons

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A plan proposed by Maine Governor Paul LePage would make his state the first in the U.S. to tax nonprofit organizations.

The proposal has started a contentious debate about the effectiveness of non profits in their communities and whether nonprofits should have to foot the bill for receiving municipal services. LePage’s plan argues that nonprofits should have to pay for services like police, fire, and snow removal. Opponents like hospitals and colleges say it would force their organizations to lay off employees or raise costs.

Should nonprofit organizations have to pay for municipal services? Are there specific issues that arise from taxing nonprofits?

Guests:

Scott Walter, Vice President of Capital Research Center, nonprofit think tank specializing in Washington DC specializing in the nonprofit world

David Thompson, Vice President of Public Policy, National Council of Nonprofits based in Washington DC