The nation’s wealthiest private colleges and universities have a new expense. Thanks to a provision in the tax reform package that President Donald Trump signed in late 2017, these schools are paying a 1.4% tax on their net investment income. This highly targeted tax only applies to schools with endowments worth at least US$500,000 per tuition-paying student. One aspect […] … learn more→

Tucked away in the recently announced GOP tax bill is a small item you may have missed: a new tax on university endowments. As I have spent decades working in higher education, the proposal immediately piqued my interest. Colleges create endowments by raising funds from alumni, companies and other donors, invest the money in stocks, bonds and other […] … learn more→