INRC has been awarded Neighborhood Assistance Program (NAP) credits!
What is NAP? NAP credits allow a donor to INRC to receive state tax credits to their state tax liability at 50% of the donation. For example: for your donation of $1,000, your donation write off on your state taxes would be $500 in direct credit to your total state tax liability.
NAP Credit State Requirements: Only minimum donations of $100 qualify and no more than $50,000 can be donated towards the NAP credits in the fiscal year.
Interested in NAP credits? Email Anne-Marie Taylor, Executive Director, email@example.com.
What are Neighborhood Assistance Program (NAP) Tax Credits? NAP is a program of the State of Indiana, administered by the Indiana Housing and Community Development Authority (IHCDA). Each year, NAP offers $2.5 million in tax credits for distribution to 501(c)(3) not-for-profit organizations across Indiana. As an awardee/recipient of NAP tax credits, INRC is utilizing the credits as a fundraising tool to help us leverage additional contributions from individuals and organizations to support our programs that support Indianapolis neighborhoods, grassroots leaders and not-for-profits.
How do NAP Tax Credits work? When a donor purchases credits, they receive a tax credit toward their Indiana state income tax liability valued at 50% of the amount of their purchase. The donor receives this credit when filing their Indiana state tax return. Donors may also be eligible to claim the amount of the gift as a tax deduction on an itemized federal income tax return, extending the savings even further.
Who is eligible to be a donor and make a contribution? Any individual or business with Indiana income tax liability may purchase up to $25,000 in NAP credits per fiscal year (a $50,000 donation).
How do I make a donation? The process is simple! Call to make a donation by check or go online! Donations can be made to INRC by check or credit card. Donations can be made online at https://donate.inrc.org; note 'NAP' in the notes section when you donate.
Is there a deadline? 2019-2020 NAP credits must be sold by March 31, 2020, though we hope to sell all before December 31, 2019.
How does a donor redeem NAP tax credits? After donating to INRC, we will send you a thank you letter and a completed form, specifying the amount of your donation that is eligible for NAP credits, which you should keep and include with your state tax returns. You will need to file a Schedule 6 with your return. When completing the Schedule 6, the donor will cite the “Neighborhood Assistance Credit”.