Tax Incentives
The Colorado Child Care contribution credit and your campaign donation
A gift to Gore Range Natural Science School’s “Campaign for the Buck Creek Campus” will positively impact the educational experience of thousands of students for generations to come. Because of Colorado’s Child Care Contribution Credit, it could also cost you much less than you’d expect. If you are planning to make a capital campaign pledge, you should be aware that your gift may be eligible for up to a 50% tax credit (in addition to the normal federal and state tax deduction available for charitable contributions).
The Colorado Child Care Contribution Credit is available in tax year 2010 to full or part-time residents who will file a Colorado tax return. This credit may not exceed your overall tax liability, but the state of Colorado does allow excess credits to be carried forward for up to five years. It is important to note that the credit is limited to cash donations and that in-kind contributions of property, including stock, are not eligible.
Please contact Doug Dusenberry at 970-827-9725 ext. 21, if you would like to learn more about making a gift to the Campaign for the Buck Creek Campus and this exciting tax-incentive.
The following table illustrates the dramatic tax savings that you could expect with hypothetical gifts made this year. We recommend that you consult with your tax advisor regarding this substantial incentive.
Gift amount |
$5,000 |
$10,000 |
$25,000 |
|
|
|
|
Federal Deduction |
($1,750) |
($3,500) |
($8,750) |
State Deduction |
($230) |
($460) |
($1,150) |
Child Care Contribution Credit |
($2,500) |
($5,000) |
($12,500) |
Subsequent year federal tax add back |
$956 |
$1,911 |
$4,778 |
|
|
|
|
Actual cost of gift |
$1,476 |
$2,951 |
$7,378 |
Make your campaign pledge now to take advantage of the child care contribution credit.