Report: Some nonprofits make millions, hardly donate to charity
The Kanye West Foundation and the NFL are just some of the tax-exempt organizations that Sen. Tom Coburn (R-Okla.) says are exploiting the system and driving up rates for the rest of us. Known on Capitol Hill for his annual "Wastebook," which documents wasteful federal spending, Coburn is set to release a 300-page report detailing hundreds of tax breaks and calling for loopholes to be closed.
Our 9,000-page tax code is full of special giveaways and loopholes that companies are able to exploit. To better illustrate this point, BuzzFeed provides a list of examples of organizations and celebrities taking advantage of the system:
The Kanye West Foundation, which was founded to help teen dropouts, spent $553,826 in 2009 on salaries, travel, and other administrative expenses. Only $573 actually went to charity. The charity closed mysteriously in 2011.
The Wyclef Jean Foundation paid the singer $100,000 to perform at his own benefit concert. Jean has defended the integrity of his charitable work. The charity is now defunct. [BuzzFeed]
It's not just celebrity charities: The PGA Tour and the NFL are both granted tax-exempt status, despite the fact that they both make millions of dollars a year, BuzzFeed notes. Roger Goodell, the NFL's commissioner, earned $44 million in 2013.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Coburn, who is set to retire at the end of the year, says he hopes the report will serve as a blueprint for his colleagues to revamp the tax code after he's gone. But the chances of that happening may be unlikely: Just last week, the House voted easily (378-46) to extend nearly four dozen special breaks for another year.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
-
US foodies brace for tariff war
Under The Radar Shoppers stocking up on imported olive oil, maple syrup and European wine as price hikes loom
By Chas Newkey-Burden, The Week UK Published
-
How Canadian tariffs could impact tourism to the US
In the Spotlight Canadians represent the largest group of foreign visitors to the United States. But they may soon stop visiting.
By Justin Klawans, The Week US Published
-
Entitlements: DOGE goes after Social Security
Feature Elon Musk is pushing false claims about Social Security fraud
By The Week US Published
-
Nobody seems surprised Wagner's Prigozhin died under suspicious circumstances
Speed Read
By Peter Weber Published
-
Western mountain climbers allegedly left Pakistani porter to die on K2
Speed Read
By Justin Klawans Published
-
'Circular saw blades' divide controversial Rio Grande buoys installed by Texas governor
Speed Read
By Peter Weber Published
-
Los Angeles city workers stage 1-day walkout over labor conditions
Speed Read
By Justin Klawans Published
-
Mega Millions jackpot climbs to an estimated $1.55 billion
Speed Read
By Catherine Garcia Published
-
Bangladesh dealing with worst dengue fever outbreak on record
Speed Read
By Catherine Garcia Published
-
Glacial outburst flooding in Juneau destroys homes
Speed Read
By Catherine Garcia Published
-
Scotland seeking 'monster hunters' to search for fabled Loch Ness creature
Speed Read
By Justin Klawans Published