A proposed 1.4% excise tax on the net investment income of private institutions would harm higher education, CMC Board Chair Emeritus and Trustee Harry McMahon ’75 P’08 P’09 argues in an op-ed for the Wall Street Journal.
McMahon said that the Republican-led tax bill would likely restrict funding for financial aid at the 70 targeted colleges and universities if passed. Tuition could also rise and donors will likely be discouraged by a portion of their gifts being diverted to the federal government, he said.
Philanthropy helps fund broad curriculum and student-faculty research, merits that make leading American institutions like CMC competitive on a global level. The full op-ed can be viewed via CMC’s Facebook page. It is available to Wall Street Journal subscribers on the paper’s website.