Enterprise Zone Tax Credit
Tax Credits for Colorado State Income Tax
The Space Foundation is an El Paso County (Colo.) Enterprise Zone project, which means your gift can provide you with state tax credits if you are a resident of Colorado.
Cash donations of $250 - $100,000 are eligible for a 25 percent Colorado state tax credit
In-kind (tangible items including stocks) donations up to $50,000 are eligible for a 12.5 percent Colorado state tax credit.
Because of legislative changes to the Colorado Enterprise Zone (EZ) tax program which became effective in 2012, the Space Foundation is required to have either your Social Security Number or your Colorado Taxpayer Account Number in order to ensure your contribution receives EZ tax credit. If the Foundation does not have a record of one of these numbers for your account when your contribution is submitted to the EZ program administrator for processing, it will result in the tax credit being denied. Please contact Kelly Shelton, Manager - Philanthropy at 719-576-8000 or [email protected] to confirm that we have your information.
How it Works
|$10,000 Contribution||$1,000 Contribution|
|Federal tax savings at 35%, net of state tax effect||$2,625||$263|
|State tax savings at 4.63%||$463||$46|
|State tax credit||$2,500||$250|
|Total tax savings||$5,588||$559|
|Total net cost of contribution||$4,412||$441|
The schedule above illustrates the incremental net cost of a contribution assuming a 35% federal tax rate and a 4.63% state tax rate using a 25% credit. Each contributor's tax rate will be dictated by their own tax situation. Tax credits are available to both corporations and individuals.
How to Do It
To take advantage of an Enterprise Zone tax credit, make your donation check out to"Enterprise Zone Administrator," noting "Space Foundation" on the memo line. Mail your donation check to:Philanthropy - Space Foundation 4425 Arrowswest Drive Colorado Springs, CO 80907
If giving online, please note that your online gift is eligible for Enterprise Zone credit. The donation will then be processed by the Space Foundation and a tax certificate will be mailed to you from the El Paso County Enterprise Zone Administrator.
For information on making any type of donation or for more information about Enterprise Zone tax credits, contact the Space Foundation Philanthropy Office via email at [email protected] or call +1.719.576.8000 or +1.800.691.4000 and ask for Kelly Shelton, Manager - Philanthropy.
For more information, visit www.colorado.gov/revenue/tax.