Rocky Mountain Children’s Health Foundation (RMCHF) has purchased our building, acquiring the additional space needed to expand the impact of our Patient and Family Assistance program to 10,000 families per year, and increase distribution of pasteurized donor human milk through Mothers’ Milk Bank to one million ounces per year. Also included in the new building space are additional offices, warehouse space and community meeting rooms. Furthermore, we will establish a permanent space for our Baby Café, offering free lactation consultations and support groups for our community.
Because our building is in a designated “Enterprise Zone” by the State of Colorado, our friends and supporters are eligible to nearly double the impact of a donation to our Expansion Project in some cases with an Enterprise Zone Colorado Tax Credit.
Giving through the Enterprise Zone Program is easy and makes a positive impact on the lives of sick children and their families in our communities.
Colorado’s Enterprise Zone Program provides tax incentives to encourage capital investment in certain targeted areas of the state — and RMCHF’s building is within one of these zones. This program makes it possible for RMCHF to offer certain donors a Colorado state income tax credit on qualifying contributions which are identified for our Expansion Project.
A gift to RMCHF’s Enterprise Zone Expansion Project can reduce the amount of Colorado state income tax that you pay, in addition to federal and state charitable deductions you may receive for gifts to charity. You can nearly double the size of your qualifying gift – and the impact of your generosity on pediatric patients– without increasing the out-of-pocket cost to you.
(for illustration only – please consult your personal tax advisor for exact savings in your situation)
Let’s say that you intend to give RMCHF a $5,000 donation for our Expansion Project. You might actually be able to give $10,000 yet it may only COST you $4,837.
|Cash Donation to RMCHF Expansion Project||$10,000.00|
|Charitable Deduction, Federal Income Tax, assumed at 22%||($2,200.00)|
|Charitable Deduction, CO State Income Tax||($463.00)|
|RMCHF Enterprise Zone Tax CREDIT against CO Taxes||($2,500.00)|
|Total estimated net tax savings||$5,463.00|
|Net out-of-pocket to you for a $10,000 gift to RMCHF||$4,837.00|
Cash and stock gifts made to the RMCHF Expansion Project may be eligible for the tax credit if:
- Valued at $250 or more
- Donated by a corporate or individual State of Colorado taxpayer
- Received before RMCHF reaches its yearly tax credit limit on qualifying contributions of $750,000
- You did not receive any direct benefits in exchange for your contribution
Donors who make a qualifying contribution to RMCHF may be able to claim an income tax credit on their Colorado tax return of 25% on cash donations and 12.5% on stock and in-kind gifts, up to a maximum yearly total credit of $100,000.
Make a donation of $250 or more to the RMCHF Expansion Project by December 31. Eligible donations will receive the tax credit on a first-come, first-served basis until RMCHF’s annual contribution limit of $750,000 is reached.
RMCHF is required to report your Federal Employer Identification Number (FEIN), Colorado Taxpayer Account Number, or the last four digits of your Social Security Number to the State of Colorado in order for your contribution to be certified.
You will receive a Colorado Tax Form (DR 0075) from RMCHF, which you will file with your Colorado state income tax return to obtain your credit.
The IRS has issued proposed regulations which could change the federal deductibility portion of the example above. Visit IRS online for more details. For this recent IRS change, and for confirmation to your own personal tax situation, please consult your own tax advisor. RMCHF is not issuing tax advice, but simply demonstrating the possibility of leveraging your donation through the Enterprise Zone tax credit.
If you have questions or want to discuss your gift, contact us at firstname.lastname@example.org or call 303-839-6782