That's not what he's saying. Depending on your filing status and income level, there's a limit to how much you can "deduct." Past that amount, and your charity donation yields ZERO back. That's what he was saying. For me, I experienced that first hand on this year's taxes. On the up-side, it made my taxes simpler because past that amount, there was no point in claiming a deduction that yielded ZERO back. Less paperwork.

 

For most charities, you can deduct up to 50% of your adjusted gross income. That's a heck of a lot. And if you itemize, it will save you tax money. ChefJ's comments are the rare exception, not the rule.

 

What about their billions in investments? The Vatican owns a TON of companies and is extremely active in world investment strategies and markets. They are hugely powerful, have a ton of knowledge and are privy to much of the world government actions before the public knows (ie, inside information on situations before anyone else really knows). I can guarantee you that, overall, they didn't lose a penny this year but rather made billions on their investments.

Read the book "In God's Name" by David Yallop sometime if you want to understand how involved the Vatican is in world financial affairs (among other things)... $250 million in "income" is spit in the bucket for them, in the big financial picture of things.

So, if they compare "income" from donations with "costs" from those dioceses, yes, they may have posted a loss. However, they make no mention of investment income which is definitely present yet unaccounted for and far outweighs a paltry loss of less than $2 million.

 

correct. we all have a "standard deduction" which is rarely obtained with charitable contributions.