Aproposed change to federal income tax laws would eliminate deductions from taxable income for donations a taxpayer has made to charitable and educational institutions. if this change were adopted, wealthy individuals would no longer be permitted such deductions. therefore, many charitable and educational institutions would have to reduce services, and some would have to close their doors. the argument above assumes which of the following? (a) without incentives offered by federal income tax laws, at least some wealthy individuals would not donate as much money to charitable and educational institutions as they otherwise would have. (b) money contributed by individuals who make their donations because of provisions in the federal tax laws provides the only source of funding for many charitable and educational institutions. (c) the primary reason for not adopting the proposed change in the federal income tax laws cited above is to protect wealthy individuals from having to pay higher taxes. (d) wealthy individuals who donate money to charitable and educational institutions are the only individuals who donate money to such institutions. (e) income tax laws should be changed to make donations to charitable and educational institutions the only permissible deductions from taxable income.

The correct option here is A).

Explanation:

Option A - is correct because according to the conclusion given in the argument, charitable institutions would have to reduce their services and some might have to close their doors , which means the assumption we are going to take will have a direct affect on these institutions , now if we assume that this assumption is false, that means whether this change comes or not charitable institutions will receive donations but that is not the case , so this option has to be correct.

Option B - this option is not right because it is nowhere said that these wealthy individuals are the only source of donations for charitable institution.

Option C - this option is also not correct because here no assumption is being made, the given statement is a consequence of not bringing the change.

Option D - this option is also not correct because there can be other individuals who can make donations.

Option E - this option is also not correct because here an alternative change to tax law is being talked about not the assumption of the argument.

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