It's hard to say who is more stupid, the person who donates $100 to save $40 in taxes or the person who THINKS people donate $100 to save $40 in taxes. I can only hope you hold this view of charity not from failed logic but because it makes you feel better about not donating to charities - since those who do so are only cynically cutting costs.
I don't have to think, I know. I know exactly why Target "salvages" items to goodwill instead of clearing them out at the lowest price someone will pay or throwing them in a dumpster. They save and make far more to "donate" items to charity than to sell a failed product on their shelves that no one will buy.
That's just one example. I can give you many, many, MANY more example of people using donations for tax write offs. Actually, most people I know do. Clothing they no longer need? Donate and make it a tax write off. Car they no longer need? Donate and make it a tax write off.
Before the tax write off incentives, more people would just dump it. Sad to say, but it's true. I'm NOT endorsing this, but just pointing out facts. Without the incentive then many people would not donate. I know quite a few people are are very against giving, or receiving, any kind of hand out. You'd be surprised by how encompassing that view and attitude is. If you know psychology, it's an underlying symbol of weakness to give or receive charity that is inherent in the psyche of most people.
You can do this with private charities as well, and many people do this for charities, why is it better for us to pay for a government that we need to oversee rather than overseeing the charities?
As far as requesting financial information from private charities and receiving it.... Umm no. Again, before regulations you couldn't. Well to put it more correctly, you could always
ask I suppose but no charity that is corrupt would give you a response back. The government has to give you a response back because A) it's the law, and B) the people can change the law and the people running it if they don't conform to our wishes. You can't change the people that run an unregulated private charity. You think anyone running a scam charity is going to give it up just because you ask them to? Or threaten to "vote" them out somehow? LOL.
These are very good points. With a charity one can just stop giving them money - immediately. With government one cannot stop giving them money (unless you're willing to spend some time at Club Fed learning interesting crafts like license plate making) and can only hope that the other crook is better than this crook.
Again, good logic but here's where it fails. You, me, and any sane person would stop donating to a charity that goes corrupt. But how would you prove it? How would find out in the first place? How would you know if an unregulated and corrupt charity is pocketing 95% of the incoming charity and only letting 5% go to the actual charity? Case in point, you wouldn't. Also a good "scam" charity would do it's utmost best to make it seem like all your donations are going to the "cause" it is championing so that you don't stop your donations. Since an unregulated charity has no obligation to be transparent about it's operations, how are you to know?
Yes it sucks when a government entity goes bad with our tax dollars. It happens. But there are ways to fix them and minimize their damage when it happens.