Community Investment Tax Credits
When you make a donation of $500 or more to Preservation Maryland, you may be eligible to receive a Maryland Community Investment Tax Credit which can significantly reduce the out-of-pocket cost of your donation.
Maryland’s Community Investment Tax Credit (CITC) program gives Maryland taxpayers incentives to make significant gifts to selected nonprofit organizations. Preservation Maryland has been allotted tax credits sufficient to support up to $30,000 in tax-advantaged gifts. Tax credits are available on a first-come, first-served basis.
HOW IT WORKS
- At your request, Preservation Maryland will issue a Maryland CITC tax credit equal to half of your donation. Your request for a CITC tax credit must accompany your donation and cannot be awarded retroactively.
- This credit can be used, dollar-for-dollar, to offset Maryland taxes that you owe.
- In addition, you can claim the full amount of our original donation – before the tax credit – on both your federal and Maryland income tax returns.
- Depending on your tax bracket, this combination of tax credits plus tax deductions can significantly reduce the out-of-pocket cost of supporting Preservation Maryland.
- The tables below illustrate the potential savings:
WHO IS ELIGIBLE?
- Businesses: Any business entity that is subject to Maryland income tax, the public service company franchise tax, or the Maryland insurance premiums tax.
- Individuals: Any individual who has a Maryland income tax liability.
Tax credits must be requested simultaneous with your donation and cannot be issued retroactively. Preservation Maryland has a limited number of tax credits. To request a tax credit at the time of your donation, contact Doug Harbit or Jana Carey to be sure that they are still available.