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August 27, 2015

Millions Donated by Californians on Tax Returns Go Unused

Nearly $10 million donated by Californians to charity via check-off boxes on their tax returns over the past decade is sitting unspent in government accounts, and much of the money never reaches the intended target, reports the Associated Press.

Of the $35 million donated by California residents since 2005 through the nation's largest state-level voluntary tax contribution program, more than quarter remained in state coffers at the end of last year, the news agency writes, citing a review of the financial records of 29 funds for education, cancer care, veterans services, and other causes included on state tax forms.

Disbursement is handled by a variety of state agencies, depending on the cause, creating a bureaucratic maze that often holds up payments. A bill to establish a single agency to oversee distribution was rejected by state legislators last year.