Limitation on credit for neighborhood assistance

Authority: IC 6-8.1-3-3

Affected: IC 6-3.1-9

Sec. 87. Limitation of Neighborhood Assistance Credit. The individual or corporation who makes the contribution in the approved program may take a credit of fifty percent (50%) of the amount invested for the taxable year. If the contribution is of a non-monetary nature, the allowable credit will be 50% of the fair market value at the time of the contribution. In no case, however, may the credit exceed $25,000.00.

EXAMPLE: F.U.G. Corporation made an $80,000.00 qualified contribution during the taxable year to the G.U.F. Neighborhood Organization, which is a tax exempt organization for Federal and State tax purposes. The allowable Neighborhood Assistance Credit for F.U.G. Corporation is determined as follows: Amount contributed $80,000.00 50% of contribution 40,000.00 Allowable credit 25,000.00*

*[The allowable credit is the lesser of $25,000.00 or 50% of the contribution.]

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Limitation on credit for neighborhood assistance

Official source

Authority: IC 6-8.1-3-3

Affected: IC 6-3.1-9

Sec. 87. Limitation of Neighborhood Assistance Credit. The individual or corporation who makes the contribution in the approved program may take a credit of fifty percent (50%) of the amount invested for the taxable year. If the contribution is of a non-monetary nature, the allowable credit will be 50% of the fair market value at the time of the contribution. In no case, however, may the credit exceed $25,000.00.

EXAMPLE: F.U.G. Corporation made an $80,000.00 qualified contribution during the taxable year to the G.U.F. Neighborhood Organization, which is a tax exempt organization for Federal and State tax purposes. The allowable Neighborhood Assistance Credit for F.U.G. Corporation is determined as follows: Amount contributed $80,000.00 50% of contribution 40,000.00 Allowable credit 25,000.00*

*[The allowable credit is the lesser of $25,000.00 or 50% of the contribution.]