Hospice of Huntington, Inc. is excited to announce our participation in the 2011-2012 West Virginia Neighborhood Investment Tax Credit Program. The Neighborhood Investment Program (NIP) is a program overseen by the West Virginia Development Office. Each year approved 501(c)3 non-profit organizations are allotted state tax credits that can be given to eligible donors who file taxes in West Virginia. This year Gov. Earl Ray Tomblin and the West Virginia Legislature extended the Neighborhood Investment Tax Credit Program through 2016 and increased the overall tax credit allocation from $2.5 million to $3 million.

There were 182 non-profits requesting $8.7 million for the $3 million in tax credits available. Hospice of Huntington received $36,000 in tax credit. They are available on a first come first serve basis.

What does this mean to you?

This is an opportunity for our donors, both businesses and individuals, to contribute to Hospice of Huntington, Inc. and receive up to 50 percent of the contributed amount in the form of state tax credits. The tax credits may be applied to the West Virginia Corporate Net Income Tax, Business Franchise Tax, or Personal Income Tax. A tax credit is used to reduce the total tax liability. These credits are in addition to any federal tax deductions for charitable donations, thus, greatly reducing the cost of the contribution to the donor. Contributions can be in the form of cash, personal property, real estate, stock and in-kind professional services.

Potential federal savings resulting from a $10,000 contribution (NIP) to the non-profit are as follows:

• Federal Tax Savings - $1,650*
• State Tax Savings - $5,000**
• Total Savings - $6,650

* Federal tax savings are based on the assumption that the contributor is in the 33 percent federal tax bracket and itemizes deductions. Participating organizations are designated 501(c)3 by the IRS, and, as such contributions are deductible on federal taxes.

** State tax savings of $5,000 in the form of NIP tax credit may be taken in one year or over a period of a five-year period. Some Limitations Apply.

The Neighborhood Investment Program provides the donor an excellent way to stretch the value of their charitable contributions while helping to carry out the mission of Hospice of Huntington in our West Virginia service areas that include Cabell, Lincoln, Mason and Wayne counties. What makes the NIP program a success is the opportunity for Hospice of Huntington, Inc. to give back to our donors who support our mission.

If you are interested in NIP tax credits or have questions, please contact Karen Dickson at 304-633-2169 or .(JavaScript must be enabled to view this email address).