Colorado Child Care Contribution Credit

Donations to Open Door Childcare Center qualify for this 50% state tax credit because it is a licensed facility providing care for children under age 12.

No minimum donation is required.

EXAMPLE:

The impact on income tax costs given the scenario of a contributor in the 25 percent federal tax bracket who gives a gift of $1,000:

Donation $1,000
CO State Income Tax Deduction at 4.6% $46
State Tax Credit at 50% $500
Federal Tax Deduction at 25% $250
Combination of Reduced Federal and State Tax Liability $796
After Tax Cost of Giving $204

The above example is for illustrative purposes only. Please consult your tax advisor to relate this to your particular circumstances.

For more information, please visit http://www.revenue.state.co.us/fyi/pdf/income35.pdf

Additional benefit: unused credits may be carried forward 5 years!

Denver Enterprise Zone Tax Credit

Donations to Still Waters Housing qualify for this 25% state tax credit because they are located within the Denver Enterprise Zone and are qualified programs that provide job-skill training.

A minimum donation of $250 is required to receive this credit.

EXAMPLE:

The impact on income tax costs given the scenario of a contributor in the 25 percent federal tax bracket who gives a gift of $1,000:

Donation $1,000
CO State Income Tax Deduction at 4.6% $46
State Tax Credit at 50% $250
Federal Tax Deduction at 25% $250
Combination of Reduced Federal and State Tax Liability $546
After Tax Cost of Giving $454

The above example is for illustrative purposes only. Please consult your tax advisor to relate this to your particular circumstances.

For more information, please visit http://www.revenue.state.co.us/fyi/pdf/income22.pdf

Additional benefit: unused credits may be carried forward 5 years!