The state has denied Planned Parenthood of Indiana participation in a tax credit program that helps non-profits raise money, citing the state's new abortion law that aims to de-fund the organization.
For background, read Indiana Squeezes Obama in Abortion Battle via Medicaid and also read Obama Forces Planned Parenthood on Indiana
UPDATE 7/31/13: Indiana abandons legal battle against Planned Parenthood to stop state funding to abortion providers
UPDATE 10/20/11: Indiana tells court that Planned Parenthood should split into two organizations - abortion services, and non-abortion services
UPDATE 6/21/11: Planned Parenthood Shutting Down in Indiana & Minnesota
-- From "Indiana officials deny Planned Parenthood tax credits for fund-raising" by Lesley Stedman Weidenbener, Louisville Courier-Journal 6/13/11
The Indiana Housing and Community Development Authority notified Planned Parenthood that it has rejected its application to participate for a third year in the Neighborhood Assistance Program.
The program allots $2.5 million in tax credits annually to organizations, which then distribute them to donors. The donors can then deduct half the amount of their contributions from their income tax liability.
The new state law, which Republican Gov. Mitch Daniels signed in May, bans organizations that perform abortions from receiving Medicaid payments for non-abortion services and most other state and federal tax dollars. That has left Planned Parenthood to turn to private donors to help pay for services for Medicaid recipients while the group fights the law in court.
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From "Indiana: Some Donations to Planned Parenthood Not Tax-Deductible" by Steven Ertelt, LifeNews.com 6/13/11
U.S. District Judge Tanya Walton Pratt initially refused to issue a restraining order for Planned Parenthood to block the law while the lawsuit moves forward and she is expected to rule later this month on a request for a permanent one.
In addition, the state argues that the new law serves the public interest in three ways: the funding qualification provision prevents taxpayer dollars from indirectly funding abortions; it advances the State’s goals of encouraging women to choose childbirth over abortion, and the informed consent requirements ensure that women who choose abortion have all the information necessary to make an informed and voluntary decision.
The law also contains several pro-life provisions that directly affect abortion, such as banning abortions after 20 weeks of pregnancy based on fetal pain and provisions to opt-out of abortion coverage in any state health exchanges required under the new federal health law, to require that women considering abortion be given full, factual information in writing, and to require doctors who do abortions, or their designees, to maintain local hospital admitting privileges in order to streamline access to emergency care for women injured by abortion.
Planned Parenthood of Indiana has used the tax credit program to help raise funds and, over the last two years, the Indianapolis Star indicates it raised $21,238 in Marion County alone through the program.
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