Information about taxpayer contributions and their effect on Colorado income tax liabilities may be subject to release to the public [C.R.S. 39-30-103.5(7)]

Eligible Purposes
To qualify for the credit, the contribution must be used for purposes that are directly related to job creation, job preservation, or assistance programs for homeless persons. For tax years beginning on or after Jan. 1, 2003, contributions to promote community development projects will also qualify for the credit.

Credits In General
No credit shall be allowed to a taxpayer for any contributions which are used for a purpose that directly benefits the contributor. [C.R.S.39-30-103.5 (4)]

Examples of in-kind contributions would include employee labor, materials, desks, computer equipment, or stock.

Credit claims must be accompanied by a certificate from the enterprise zone administrator attesting to the value of the contribution and the use to which it will be put. For any given year, the amount of the credit is limited to the taxpayers liability. Any excess credit may be carried forward for a period of up to five years. The $100,000 credit limit can be generated each year whether or not there is any carryover from prior years. [Reg. 39-30-103.5]

Your certification form (Form DR 0075) will specify the amount of your contributions that qualify for the 25 percent cash/ 12 1/2 percent in-kind credit.

For more information see FYI Income 23

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