What is it?
- Opportunity funded by the Delaware State Housing Authority that enables businesses or individuals to receive a generous credit on their Delaware income taxes in exchange for their support of qualified nonprofit organizations of their choice.
- Participating taxpayers may be eligible for a tax credit up to 50% of the value of their contribution.
When is the tax credit
On July 1st,
the state legislature typically approves a lump sum that DSHA often approves to
disperse in tax credits. In early July, the taxpayer and YWCA Delaware submit a
joint application for the tax credit. The credit is allocated on a
first come-first served basis.
Is it difficult to
qualify? No. You
may not be familiar with this as this is not a highly publicized tax creditopportunity and very few of those taxpayers that qualify for it actually
leverage it. YWCA Delaware is a qualifying program and your donations may be
you file a Delaware State tax return?
Do you have income tax liability? This is the calculation before
subtraction of your Delaware tax withholdings. The credit is applied after your
Delaware withholdings. If
you typically owe taxes, this is the perfect program for you. If
you typically get a refund, you may want to consult your tax professional to adjust your withholdings to use the program.
Is there a minimum qualifying
for individuals and $10,000 for businesses
When does the donation need to be
must be received within the state tax year; ideally they should be made between
January1st - June 30, 2015th.
How do I apply?
Consult your tax
professional now for more details and prior to making any financial
Financial Questions? Tax professionals can
contact the DSHA at 1-888-363-8808 and reference the
Neighborhood Assistance Act program for more information and to ask
Remember that when
filing your taxes, you will need to file a special credit form, Delaware Income Tax Credit Schedule Form 700 and attach a copy of it to your tax return.
Notify YWCA Delaware if you are
planning to participate or if you have any questions regarding the
deadline – contact Marcia Wright-Soika at email@example.com
or 302.655.0039 ext. 227.
Your applications should be received
by YWCA Delaware, 100 W. 10th St. Suite 515 Wilmington, DE 19801, Attention: DSHA / Marcia Wright-Soika by 6/24/15.
Is there a maximum credit? Yes, the maximum credit is $100,000 in
tax credits in any 3 year period. In most cases, this is a very difficult
threshold to meet but please consult your tax professional for more details.
How do I know if I was
your donation is approved as part of the program, DSHA will send you a letter
confirming your credit.