BCI has $241,000 in Missouri Neighborhood Assistance Program (NAP) state tax credits to offer through 2024. Eligible donors giving $1,000 or more can reduce the state tax they owe while supporting BCI’s programs for adults with disabilities.
NAP donations are restricted to our Transforming Lives by Transforming Spaces initiative. This expansion, our largest since 2011, will allow us to provide jobs to 48 more adults with disabilities, allowing them to achieve their self-development goals while earning wages and contributing to their community. The new workspace is being built out within our existing secondary St. Peters warehouse and will feature a welcoming common room, enhanced lighting, HVAC upgrades, larger restrooms, and new production equipment.
Individuals are eligible to receive NAP credits if they operate a sole proprietorship or farm, have rental property or royalty income, or are a shareholder in an S-corporation, a partner in a partnership, or a member of a limited liability corporation. Businesses are also eligible.
NAP credits are worth 50% of your gift and, in addition to state and federal standard deductions, directly reduce the amount of tax you owe. You may also donate appreciated stock for even greater benefits, such as avoiding capital gains and the ability to deduct the stock’s full market value on your tax return.
To discuss these tax credits or get started with a qualified donation, please call (636) 875-5220.
Below is an example of how the credits work for someone with a federal tax rate of 24% (2021 income rate range of $86,375 – $164,925 for single and $172,750 – $329,850 for married).
|Gift Amount||Assumed Federal Tax Rate||Federal Tax Savings#||MO Tax Savings#||MO Tax Credit @ 50%||Net Out-of-Pocket Cost to Donor||Net Cost for Every $1 Donated|
Note: this example is provided for illustrative purposes only and does not constitute tax advice. You should consult your own tax advisor prior to making a contribution to confirm the after-tax cost of your donation and to learn more about how these credits can help you achieve your desired outcome, including, but not limited to, adjustments related to the charitable/standard deduction limits and possible alternative minimum taxes.
# – assumes that the taxpayer itemized deductions exceed the standard deductions ($12,550 for individual and $25,100 for married filing jointly). Note: the charitable deduction has been reduced by 50% due to new IRS proposed regulations effective August 27, 2018.