Around $100 billion of these subsidized bonds, known as qualified private activity bonds, are issued every year. Colleges and universities are major beneficiaries of the tax exemption for qualified private activity bonds. According to the Joint Committee on Taxation, this tax break subsidizes educational institutions to the tune of $4 billion per year. Preston Cooper/ForbesBut budget savings are not the only reason lawmakers should end the tax break for qualified private activity bonds. While overall issues of qualified private activity bonds rose 12% since 2000, issues for nonprofits other than hospitals rose a whopping 58% over the same time period.

Source: Forbes November 09, 2017 17:03 UTC