The West Virginia Community Advancement and Development Office recently announced that the Eastern West Virginia Community Foundation was allocated $23,200 in tax credits through the Neighborhood Investment Program (NIP). Qualifying gifts of at least $500 can be made to the Foundation to earn a 50% West Virginia income tax credit for the donor. Donors can receive a maximum of $2,000 in NIP tax credits for gifts of $4,000 or more.
Because these West Virginia NIP tax credits reduce the donors state tax liability, a $1,000 gift to the Community Foundation translates into an actual $500 out-of-pocket expense—and even less if donors itemize deductions on their federal tax return. Programs supported by NIP tax credits serve low-income residents in highly distressed neighborhoods and certain restrictions apply for contributions to be eligible.
The West Virginia Legislature sets aside $3 million annually in NIP tax credits to help nonprofit organizations that are serving distressed neighborhoods and at-risk populations. Donors can use the tax credits to reduce liability for West Virginia Personal Income Tax or Corporate Net Income Tax by up to 50% annually. Credits may be used over a five-year period.
Tax credits can help donors make sizable gifts that will benefit our community this year, and forever,” says Amy Pancake, Associate Director for the Eastern West Virginia Community Foundation. “These NIP eligible gifts will support our Community Impact Funds in the five counties we serve – Berkeley, Hampshire, Hardy, Jefferson, and Morgan – as well as other endowed funds that address critical needs in our communities.”
Individuals or businesses interested in donating to funds benefitting Hardy County can call (304) 822-7200 to reserve NIP credits and discuss how their gift will be used to benefit local charities. Credits will be awarded on a first-come, first-served basis.
Established in 2008 as an affiliate of the Eastern West Virginia Community Foundation, the Hardy County Community Foundation works with local donors to build permanent community endowment. Funds are invested and grants and scholarships are awarded from the annual gains.
