The Oregon IDA Tax Credit was renewed by the 2015 Oregon Legislature. With renewal, came changes to the sale of the tax credit to be implemented on Oct. 5, 2015.
Here is what’s new for the remainder of 2015:
- The Tax Credit Rate will be 70%
- There is no limit for individual donations
Here is what hasn’t changed:
- There is a statewide limit on tax credit sales – check the availability of credits here.
- You can donate by credit card on our website. (If you need technical assistance making an online donation, we can assist. However, for your security, we do not take credit card donations over the phone or through the mail.)
- You can donate stocks, mutual funds or via wire transfer. View and download the forms and instructions for stocks and mutual funds here or for wire transfers here.
- You can donate via check. Please send checks to: Oregon IDA Initiative, c/o Neighborhood Partnerships, 310 SW 4th Ave., Suite 715, Portland, OR 97204. You can find the donation form here.
70% Tax Credits Expected to Go Fast
WARNING: PLEASE INFORM YOUR BANK IF YOU ARE MAKING A LARGE CONTRIBUTION. MANY DONATIONS ARE REJECTED EVERY YEAR BY DONORS’ BANKS. REJECTED DONATIONS WILL NOT BE PROCESSED.
If I donated $100,000 before August 15, 2015, may I donate more now that the limit on individual donations has been removed?
Yes, you may donate as much as you’d like for a 70% tax credit as long as credits are available.
What happens if I mail a check or execute a stock transfer and you receive them after credits have sold out?
- Your check will be returned with a letter explaining that tax credits were sold out.
- If you donate stock or mutual funds, we will return the stock to your brokerage. We will have to request information about your account in order to ensure the return is made correctly.
Will the process still be the same in 2016?
We are currently determining the process for 2016. If you would like to provide feedback on the donation process moving forward you are welcome to participate in one of our focus groups.
Do contributions also qualify for a deduction on a federal tax return?
We are restricted from offering tax advice. As you know, tax issues are very complicated and can vary on a case by case basis. You (your clients) should consult tax and/or financial advisors before committing funds to the IDA Initiative or any other tax credit program. This information is not intended to offer nor held out as offering tax or investment advice to any individual or business.
If someone doesn’t need to apply all of one’s tax credits this year, can the credits be used next year?
Yes. Excess tax credits can be carried over for up to three years.
Is there a minimum contribution amount?
Is there a limit to the amount of contributions the Oregon IDA Initiative may receive each year?
The “cap” on contributions to the Initiative will now be calculated differently. We are limited to $7.5 million in state expenditure each year. This is a slight increase over previous funding levels. You can track the availability of credits here.
What should I do if an acknowledgement letter has been misplaced for a previous donation? Are copies available?
We’d be happy to help. If you are the donor, simply contact Matt Kinshella by email or by phone at (503) 548-4475 or Mercy Rossi by email with the Oregon IDA Initiative and we can mail you and/or email you a copy of the acknowledgement(s). If you are a CPA or financial advisor requesting on behalf of your client, we need your client to email us, authorizing us to send you a copy of the acknowledgement. The letter will indicate the tax credit percentage for the donation.