NAP Contributions
The Neighborhood Assistance Program (NAP) offers $2.5 million in tax credits annually for distribution by not-for-profit corporations. Organizations use the tax credits as an incentive to help leverage more contributions from individuals, corporations, and businesses for programs and projects.
The NAP program follows the state fiscal year from July 1 to June 30. The maximum tax credit award per organization for each fiscal year is $50,000. The tax credits are distributed to donors at 50% of the contribution amount and are deducted from the donors state tax liability as allowed by Indiana Code 6-3.1-9.
For this fiscal year Circle U Help Center has been awarded the maximum tax credit of $50,000. This means Circle U must raise $100,000; $60,000 by December 31, 2011, and the final $40,000 by June 30, 2012. The minimum donation is $100 and the maximum donation is $50,000.
For example: If you donate $1,000 to Circle U Help Center, you will receive a tax credit of $500 toward your Indiana State tax liability. The deadline for 2011 tax credits is December 31, 2011. Any credits received after that date will apply to your 2012 tax return. Additionally, depending on your income and tax bracket, you may be eligible for tax credits on your federal tax return.
For those who have donated tax credits to Circle U before, the reporting procedures have changed. You will still fill out the NC-10 form, but you will no longer receive an NC-20 from the state. Once you have submitted your NC-10 form, that information will be submitted electronically to the Indiana Department of Revenue. When you file your Indiana State taxes, you will claim the credit on your return. We will give you a copy of the NC-10 form, or send you a letter stating the amount of your donation for tax preparation purposes.
If you have any questions please call Rick Pegg at 765-994-5050 or 765-966-1013.
Download the NAP NC-10 form.
Previous NAP Contributors:
Rev. John Luerman
Dr. Carl Woolridge
Jack Doyle
Gregory Horn
Ann Fennimore
Michael Devine