FRANKFORT, Ky. (AP) – The bill U.S. lawmakers passed to keep the government open also included some good news for Kentucky’s Berea College by exempting them from a tax on their endowment.
The small school in Appalachia does not charge tuition and only accepts students who cannot afford to pay. The school relies mostly on its $1 billion endowment. But the Republican tax plan that passed last year included a tax on the school’s endowment that would have cost it $1 million a year.
Republicans blamed Democrats for the tax, pointing out they refused to allow an amendment at the time that would have exempted the school. Democrats blamed Republicans for rushing through a bill that did not adhere to the Senate’s rules.
Sen. Mitch McConnell said he insisted the exemption be part of the budget bill.
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2/9/2018 9:17:35 AM (GMT -5:00)