Tax Credits
As of August 28, 2007, Epworth has Children’s Home Tax Credits available for cash and stock gifts. The credits were made available as “residential tax credits” pursuant to RSMo 135.1150 and the rules of the Missouri Department of Social Services 13 CSR 35-100.010.
WHO IS ELIGIBLE?
Any individual, business or corporation having a Missouri income tax liability.
WHAT GIFTS ARE ELIGIBLE?
Contributions to Epworth of $5,000 or more in cash or in stock until December 31, 2008. Maximum annual gift is $100,000.
HOW DO THE TAX CREDITS WORK?
As with most charitable donations, a donor can take a federal income tax deduction. With Children’s Home Tax Credits, a donor can also claim one-half (50%) of the donation as a state tax credit to the limit of his/her taxable income. Donors have five years to utilize all of the credits. In addition, with gifts of stock, a donor will owe no capital gains tax on any appreciation. As with any gift, how much is deductible for tax purposes will depend on a donor’s unique circumstances and tax bracket. Epworth purchases these tax credits for donors from the state, thus Epworth is able to use 50% of the donation and the donor receives a BIG tax break!
HOW DO YOU MAKE A GIFT?
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For cash gifts: Send your gift with a check marked Children’s Home Tax Credits in memo section and a short letter stating the gift is a contribution to Epworth. The letter should include 1) the person or company’s name that will receive the tax credits; 2) the corresponding taxpayer ID or social security number; and 3) if the credits are being issued to…an individual, partnership, corporation, s corporation, LLC, financial institution, or insurance company. Mail the letter and donation to: Development Office, 110 North Elm Avenue, St. Louis, MO 63119.
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For stock gifts: To transfer stock and other securities, please contact Randy Loechner at (314) 918-3411. Epworth can fax the stock transfer information directly to you or your broker. Epworth will also need the same information in a letter or email as indicated above for a cash gift.
HOW EASY IS IT?
It is incredibly easy! Epworth fills out all the paperwork for you! Just send Epworth the gift and the brief letter/email as indicated above…… and you will receive a certification letter directly from the Department of Social Services indicating approval within 45 days to use for tax purposes. (This particular tax credit program does not require you to provide copies of cancelled checks nor will we need notarized paperwork from you.)
CAN YOU GIVE OR SELL YOUR TAX CREDITS TO SOMEONE ELSE?
YES! The owner of the certificate may assign, transfer, sell, or otherwise convey the certificate. The new owner will have the same rights as the original owner. A notarized endorsement must be submitted to the Department of Social Services within 30 days of the transaction and must include: 1) previous and current owner names, 2) addresses for previous and current owners, 3) taxpayer identification number for previous and current owners, 4) value (amount of the claimable tax credit remaining), and 5) the date of the transaction. This should be sent to: Department of Social Services Residential Treatment Agency Tax Credits PO Box 853 Jefferson City, MO 65102-0853 (This is the first Epworth tax credit program in which transferability has been allowed)
WHO SHOULD YOU CONTACT FOR MORE INFORMATION?
Please contact Amy LaBelle, Director of Annual Giving at 314-918-3350 or alabelle@epworth.org
download the tax credit application (80k pdf)