Nonprofit Organizations Are About to Get Hit With a Big Bill to Help Pay for the Nation’s Infrastructure

Council of Nonprofits in the News

Tags: 

Workforce Shortage

Employee Retention Tax Credit

#Relief4Charities

A recent survey from the National Council on Nonprofits found that nonprofit organizations were struggling to fill job vacancies, with 80 percent of respondents listing salary competition as a factor preventing them from filling openings. This has real-world consequences for nonprofits and the communities they serve, the survey found, resulting in longer waiting times for services, and greater burnout among employees working for organizations that are short-staffed. It also found that while 15 percent of respondents reported claiming the Employee Retention Credit across the board nationally, that percentage was higher in some states.

Some groups have already raised concerns about potential penalties organizations may now face; in late October, the American Institute of CPAs asked the chairs and ranking members of the Senate Finance Committee and House Ways and Means Committee to direct the IRS and Treasury Department to “waive any penalties and provide a reasonable, practical method for payment of unpaid employment taxes.”

Dozens of Oregon and national nonprofits also sent a letter in September to Senate Finance Committee Chair Ron Wyden, who represents Oregon, asking the committee to consider extending the credit in its portion of the Build Back Better Act. The letter noted that 600,000 nonprofit jobs had been lost due to the pandemic, and had not returned as of July.

“Nonprofits are doing everything we can to serve communities across America during the pandemic. As the nation recovers, our sector will play a critical role in rebuilding the economy, restoring livelihoods, and strengthening communities,” the letter said.

Source Name: 

The New Republic

Source Link: 

https://newrepublic.com/article/164521/nonprofit-organizations-infrastru...