Amendment #76 to H3400

Taxation of Endowment Funds in Private Institutions of Higher Learning

Mr. Scaccia of Boston moves to amend the bill by adding the following section:

"Section XXXX:  Chapter 63 of the General Laws is hereby amended by inserting after section 38Y the following section:-

Section 38Z.  Any private institution of higher learning that has an endowment fund in excess of $5,000,000,000 shall be subject to an annual excise of 2 1/2 per cent of all monies in excess of $5,000,000,000.  For the purpose of this section an endowment fund shall be an institutional fund of a private institution of higher learning not wholly expendable by the institution on a current basis under the terms of the applicable gift instrument."