Stanford Faces $43 Million Tab in Trump Endowment Tax (1)

Stanford University faces as much as $43 million in taxes under a new levy on college endowments included in President Donald Trump’s tax overhaul, the first time private colleges will pay such a fee.

The provision, which was passed as part of the Republican tax bill in December 2017, affects about 30 wealthy schools including Stanford -- the third-richest U.S. private college with an endowment of $27.7 billion. The California-based college estimated it will eventually pay the more than $40 million figure on both realized and unrealized capital gains for fiscal 2019, according to an emailed statement from the ...