Tax Credits are available to eligible donors for gifts of cash, credit or appreciated securities. You can reduce your Missouri tax liability by 50%. For detailed information about tax credits, please see below.
Claiming a Tax Credit
Upon approval of the tax credit application, a Tax Credit Certification will be issues to the contributor. The following criteria must also be met in order for the contributor to claim the credit:
1. The Department of Economic Development (DED) will certify each credit and send each donor a “Certificate of Eligibility”. Department of Revenue (DOR) will have access to all approved credits. With Senate Bill 1099 all donors are approved through DED, then transferred to DOR for review of delinquent taxes, if delinquent taxes are due the credit will be offset by that amount. Once approved by DOR the certificate of eligibility will be mailed out and is ready to claim on the contributor’s tax return.
2. To claim the tax credit on your taxes, the Department of Revenue Form MO-TC is needed. To obtain this form please contact Department of Revenue at 800.877.6881 or download it from www.dor.mo.gov. or click here for the 2014 form: http://dor.mo.gov/forms/MO-TC_2014.pdf
3. In the event that tax credits were improperly approved, the Department will notify the taxpayer of the reason for the adjustment and notify the Department of Revenue that the tax credits have been adjusted and the reason for the adjustment.
4. The tax credits are not transferable, refundable or sell-able.
Who is eligible? - Any individual, business or corporation with a Missouri income tax liability.
What gifts are eligible? - Contributions to Epworth of $1000 or more in cash or stock.
How do the tax credits work? - As with most charitable donations, the donor may claim a federal income tax deduction. With Missouri Tax Credits, the donor may also take a 50% state tax credit to the limit of his/her taxable income. Donors have up to five years to utilize all of the credits. In addition, with gifts of stock, the donor owes no capital gains tax on any appreciation. As with any gift, how much is deductible for tax purposes will depend upon the donor’s unique financial circumstances.
Here is an example of a cash gift:
Gift Amount = $1000
Federal tax savings* = 140
Missouri tax savings* = 60
State tax credit (50%) = 500
NET Cost to you* = $300
* As with any gift, the amount that is tax-deductible is dependent on each individual’s unique financial circumstances. The above examples are calculated for donors in the 28% tax bracket. Please consult with your tax advisor to determine your exact savings.
How do you make a gift? - Click here to donate online. When we receive your donation, we will send you an acknowledgement letter with brief instructions on how to fill out the accompanying tax credit form. After you have completed and returned the form to Epworth with proper documentation, you will receive a certification letter directly from the State of Missouri indicating approval.
We also accept gifts of appreciated stock and other securities. Please contact the Development Office at 314.961.5718 or fill out our brief contact form for further information. Epworth can fax or email the stock transfer information directly to you or your broker.