Washington, DC (PRWEB) February 19, 2008
The Center for College Affordability and Productivity (CCAP), a higher education think tank based in Washington, DC, has released a new study on higher education tax policy, including outlining several possible reforms for university endowment spending.
The report, "Federal Tax Policy Regarding Universities: Endowments and Beyond" comes as senior members of Congress and the U.S. Senate Finance Committee are investigating university endowments, in light of robust endowment investment returns and rising tuition costs. This study offers a new perspective on the endowment debate and suggests possible reforms that are both reasonable for colleges and universities and would help students and families with increasing college costs. The study is authored by Dr. Richard Vedder, director of CCAP, who served as a member of the Secretary of Education's National Commission on the Future of Higher Education.
"With the recent Senate Finance Committee inquiries, college endowments are in the hot seat. Many endowments have seen impressive investment gains while the universities themselves are still hiking up tuition and costs. This report reviews the roots of this problem and offers solutions that would work for the endowments and colleges themselves as well as students and families," Vedder said.
In the report, Vedder also addresses other important tax policy issues pertaining to colleges and universities, including whether or not some higher education donations should lose their tax favored status.
"We know that higher education is becoming more and more elitist with extravagant dorms and campuses that resemble country clubs. We also know that many donors and the universities themselves receive generous tax deductions for their gifts that fund this largess. In light of increasing college costs, it is now time to consider changing our tax policy so that higher education donations truly benefit academics and learning, not peripheral expenses like skyboxes at sports stadiums and Ritz-like dorm rooms," Vedder said.
The report can be downloaded from the CCAP website at: http://www.collegeaffordability.net. A printed version of the report can be obtained by calling CCAP offices at 202-375-7831.
Dr. Vedder is also available for media interviews about this report and its findings. To schedule an interview, please contact CCAP at 202-375-7831.