2020 Budget Includes NEA Increase, UBIT Repeal!
Wednesday, December 18, 2019
2020 Budget Includes NEA Increase, UBIT Repeal!
HOLIDAY CHEER! NEA RECEIVES RECORD BUDGET INCREASE AND FRINGE BENEFIT TAX REPEALED!
Appropriations
- The National Endowment for the Arts (NEA) and the National Endowment for the Humanities (NEH) both received a $7.25 million increase, bringing the annual budget of each to $162.25 million, representing the agencies’ biggest funding increase in 10 years.This budget increase demonstrates strong, continued bipartisan support.
- The Assistance for Art Education program at the U.S. Department of Education received $30 million, funding that is level with fiscal year 2019.
- The Office of Citizen Exchanges at the U.S. Department of State received level funding at $111.86 million.
Nonprofit Tax Policy
The Unrelated Business Income Tax (UBIT) provision that taxes nonprofits on expenses incurred on employee parking and transportation benefits, enacted with the Tax Cuts and Jobs Act of 2017, will be retroactively repealed, treating the provision as if it never existed. Nonprofits that paid this tax will be entitled to a refund of the taxes paid.
Dance/USA actively lobbied for this repeal, along with partners in the UBIT Repeal Coalition and as a member of Independent Sector, and many of you sent letters and made phone calls to your members of Congress on this issue.
While the current fiscal year started on October 1, the federal government has largely received level funding through two continuing resolutions. The current continuing resolution expires Friday. The Senate must still approve this spending package, and then the President must sign the bill for it to become law.
Thank you to all for your ongoing advocacy on behalf of dance and the performing arts.