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February 13, 2007

Watching the Senate: Recapturing Charitable Giving

Marc Comtois

On the face of it, the concurrent efforts of Senate Majority Leader Paiva-Weed (PDF) and House Speaker Gordon Fox (PDF) to promote charitable giving by ex-pat Rhode Islanders is a good bit of pragmatic lawmaking:

The legislation would prevent the state from considering a person’s charitable donations as evidence when determining for tax purposes whether that person’s primary residence is in Rhode Island. Many accountants and tax advisors discourage part-time Rhode Island residents from giving to charities out of fear that the donation could be used as evidence against them if the state ever challenges their residency.
This is probably good for the state's charities, but it still doesn't get to the root-cause of the problem, now, does it? Instead of dealing with the "truth" of why so many Rhode Islanders move away, they are attempting to mitigate the effects of the "consequences." Just more evidence that, as Thomas Sowell would say, they aren't Thinking Beyond Stage One.