Latest news with #wealthyschools
Wall Street Journal
4 days ago
- Business
- Wall Street Journal
Colleges Hope to Stave Off Big Tax Hike by Pledging to Spend More Endowment Cash
Some of the nation's wealthiest universities are hoping to avoid a huge potential tax hike by pitching an alternative plan to Congress: a pledge to spend more of their own money. The current version of President Trump's tax bill, which passed the House last month, includes a hefty, 21% annual tax on the wealthiest schools' investment income, up from the current 1.4% rate. The plan could add hundreds of millions of dollars to many schools' annual tax bills. The White House said recently that the tax increase would create accountability for 'woke, elitist universities.'
Bloomberg
09-05-2025
- Business
- Bloomberg
GOP Eyes Tax Hike on Endowments in Escalation of Ivy League Feud
House Republicans are considering increasing taxes on university endowments, a significant threat to some of the nation's wealthiest schools as President Donald Trump seeks to tighten control over American higher education. The measure is in a draft of the tax package Republicans are weighing, according to people familiar with the matter who spoke on condition of anonymity to share details on the effort. The proposal would create a tiered system of taxation so that wealthy colleges and universities pay more as the size of their endowment grows, the people said.
