NAP Tax Credits
BCI has been approved to leverage $241,000 in Missouri Neighborhood Assistance Program (NAP) state tax credits. These offer eligible donors giving $1,000 or more an amazing way to reduce the amount of taxes they owe while supporting adults with developmental disabilities.
NAP donations will be used to expand services through our Transforming Lives by Transforming Spaces project and offer employment to 48 more people with disabilities so they can achieve their personal self-development goals while earning wages and contributing to their community.
To be eligible to give under this program, individuals must operate a sole proprietorship or farm, have rental property or royalty income, or be a shareholder in an S-corporation, partner in a partnership, or member of a limited liability corporation. Businesses are also eligible.
NAP credits are worth 50% of your cash gift and, in addition to state and federal standard deductions, directly reduce the amount of tax you owe. Have appreciated stock? Consider gifting that for even more benefits such as avoiding capital gains and the ability to deduct the stock's full market value on your return.
Missouri's NAP program allows you to support an organization you care about and effectively give more. To discuss whether these tax credits might work for you or your business, or to get started with a qualified donation, please contact Cindy at (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).
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.