First Selectman Mike Tetreau announced today that the Connecticut Department of Revenue Services (DRS) has approved nine programs submitted by the Town of Fairfield for inclusion in the 2014 Neighborhood Assistance Act program.
The Neighborhood Assistance Act (NAA) program is designed to provide funding to State-approved community programs conducted by municipal agencies or community non-profit organizations. The NAA works with businesses to provide a State tax credit for cash contributions made to these community programs.
The program is structured so that businesses that make charitable contributions to a qualified program are eligible to receive a credit, valued at 60% to 100% of the amount contributed, on their State Corporate Income Tax. The minimum contribution on which a tax credit may be granted is $250, and the maximum contribution that any non-profit or municipal entity can receive under this program is $150,000. Businesses are also limited to $150,000 in tax credits annually, and the program has a $5 million cap statewide.
The types of community programs that qualify for the NAA tax credit program include, but are not limited to: energy conservation; employment and training; child care services; neighborhood assistance; substance abuse; open space acquisition; crime prevention programs; and affordable housing development.
The following programs were approved for inclusion in the NAA Program, along with the contribution limits denoted:
? Wakeman Memorial Foundation – After School Programming (75,000)
? Wakeman Memorial Foundation - McKinley Elementary School Outreach ($50,000)
? Operation Hope of Fairfield – Community Hunger & Homelessness Services ($150,000)
? Pilot House - Therapeutic Riding & Vocational Support ($71,000)
? Notre Dame High School – Educational Outreach & Operating Support ($150,000)
? Notre Dame High School – Energy Efficiency Upgrades ($150,000)
? Fairfield Theatre Company – FTC Saturday Kids ($10,000)
? Connecticut Challenge – CT Challenge Center for Survivorship ($150,000)
? Junior Achievement of Western Connecticut – Financial Literacy Program ($25,000)
First Selectman Tetreau remarked, “This is a real ‘win-win’ situation for both the non-profit groups and the businesses involved. On the one hand, community organizations are able to raise much needed funds to help support a number of very worthwhile initiatives that benefit local residents. On the other, businesses that make a charitable gift toward these programs are able to reduce their corporate tax liability.”
Businesses have until October 1, 2014 to submit an application to the State Department of Revenue Services denoting the program that it intends to sponsor and to request a tax credit. Businesses wishing to contribute toward any of these programs may contact the sponsoring organization or the Fairfield Department of Community and Economic Development at (203) 256-3120 for more information.