As tax season draws to a close, business owners and their accountants search for more ways to reduce the impending tax bill. One type of state tax credit can help improve the quality of life in communities across the state as well as improve a company's tax status. The program offers many options. Projects benefiting from contributions through the NAP program include community centers, sheltered workshops, substance abuse counseling programs, adult literacy programs, emergency food and shelter facilities, housing rehabilitation, job training and downtown revitalization. These worthwhile projects have made a difference in hundreds of neighborhoods.
Many options are available in the type of contribution that can be made.
Donations are not limited to cash. Other items, such as real estate, services, materials, equipment and stock can be given. In return, up to 70 percent of the value of an approved contribution will be credited against a company's state tax bill. And the tax credits can be used for up to five years from the time the contribution is made. All Missouri companies and certain individuals are eligible to participate in the program, including corporations, insurance companies, banking and other financial institutions, partnerships and individual partners and individuals operating sole proprietorships or farms in Missouri or owning rental property in Missouri.