Should large university endowments, including Harvard’s, be taxed?

The Harvard Crimson reports.

In Letter to Congress, Faust Makes Case For Endowment

Responding to congressional inquiry about university endowments, Harvard released an extensive document Friday explaining how its $37.6 billion endowment advances its educational—and tax-exempt—mission.

Senator Orrin G. Hatch, Congressman Kevin P. Brady, and Congressman Thomas W. Reed II have begun to consider whether large university endowments, including Harvard’s, should be taxed. In a letter they sent in February to colleges and universities with endowments larger than $1 billion, the members of Congress asked a series of questions about how their endowment funds operate. University President Drew G. Faust submitted a public, wide-ranging response Friday.