US Government Eyes Non-Profit Endowments (Warning!)

“There is a mindset that believes that the granting of a tax exemption entitles the government to control how the resources of the nonprofit sector are to be spent. This raises questions about the compact made with the American people when the income tax was first imposed. There were understandings at the time, one of which was that nonprofit institutions carrying out charitable functions would be exempted from the income tax.”