What you call a pass through "loop hole" is exactly what happens by default with ordinary business accounting. As a business you have other expenses that incre

What you call a pass through "loop hole" is exactly what happens by default with ordinary business accounting. As a business you have other expenses that increase by the same amount as your other income. Net income is unaffected. Before special tax treatment comes into play, businesses in the United States are taxed on revenue minus expenses, i.e. their net income. Nothing about passing through charitable contributions for others affects their net income at all.