ENDOW IOWA TAX CREDIT PROGRAM

The most powerful component of the Greater Poweshiek Community Foundation is building a permanent collection of endowed funds which benefit residents today and in perpetuity.  Because GPCF is an accredited community foundation, every permanently endowed fund at GPCF qualifies for the Endow Iowa Tax Credit program.

The Endow Iowa Tax Credit Program offers donors generous tax incentives to make it easier to give more for less. Since 2003, more than $38 million has been invested in community foundations through Endow Iowa, improving residents’ lives both now and for years to come.

The tax credit is for 25% of the amount of the donation, up to a maximum of $300,000 credit per taxpayer.  Approximately $6 million in tax credits have been available annually through Endow Iowa.

Eligible gifts will qualify for Endow Iowa tax credits on a first-come/first-serve basis until the yearly appropriated limit is reached.

For more information about Endow Iowa or establishing a fund at Greater Poweshiek Community Foundation contact Nicole Brua-Behrens at 641-236-5518 or nicole@greaterpcf.org

  • Tax credits of 25% of the gifted amount are limited to $300,000 per taxpayer or $600,000 per couple if both are Iowa taxpayers.
  • Eligible gifts will qualify for credits on a first-come/first-serve basis.
  • GPCF will automatically send an Endow Iowa Tax Credit application for gifts of $100 or more. If gift is below $100, please contact GPCF to request a form.
  • All qualified donors have five years to use their Endow Iowa Tax Credits.
  • Endow Iowa Tax Credits allow donors to have even greater impact on their philanthropic interests in Poweshiek County now and into the future.

This is an exciting program that benefits both donors and charities. Below is an approximation of the net after-tax costs of contributing to a fund. Donors should contact their professional advisors to confirm accuracy.

Amount of Gift$10,000
Endow Iowa Tax Credit$2,500*
Net federal deduction$10,000**
Donor’s federal tax rate$39.6%***
Federal tax savings$3,960****
Total Savings$6,460
Net Cost of Gift$3,540*****

 

*25% of the charitable gift made to a permanently endowed fund at a community foundation.
** The entire amount of the gift is deductible on federal taxes.
*** Individual marginal tax rates may vary.
**** Assumes that individual taxpayer utilizes Schedule A (itemized deductions) on their federal return.
***** Gift appreciated securities and your net cost is even less.