The State of Idaho has significantly increased the tax credit for school contributions. We have a tremendous opportunity to contribute large amounts and have less out of pocket. ALL contributions need to be made payable to Boise Valley Adventist School.
Single Taxpayers:
An individual makes a $1000 cash (currency, check or credit card) donation to a qualified Idaho educational institution. He is then eligible for a tax credit up to 50% of the contribution–the credit is limited to 50% of the taxpayer’s total Idaho income tax liability. The max credit would be $500. Also, if a taxpayer itemizes, he could have an additional tax savings on their federal return.
Married Taxpayers:
A married couple makes a $2000 cash (currency, check or credit card) donation to a qualified Idaho educational institution. They are then eligible for a tax credit up to 50% of the contribution–the credit is limited to 50% of the taxpayer’s total Idaho income tax liability. The max credit would be $1000. Also, if the couple itemizes, they could have an additional tax savings on their federal return.
For C Corporations:
A C Corporation makes a $10000 cash (currency, check or credit card) donation to a qualified Idaho educational institution. The corporation is then eligible for a tax credit up to $5000 which is limited to 10% of the corporation’s total Idaho income tax liability. Under this scenario if the corporation had a tax liability of $20000, the credit allowed would be $2000. Tax savings vary depending on your tax status.
The above are examples only. Check with your tax accountant to determine your exact dollar savings. The Idaho Education Tax Credit is available to most Idaho taxpayers. Or you can contact the Idaho Tax Commission at 334-7660.