The Colorado Child Care Contribution Credit (5C) was established to encourage greater private support of Colorado child care programs, like those provided by the JCC Denver. Because monetary contributions to the JCC qualify for this tax credit, you may be able to decrease the after-tax cost of your gifts by more than 50%.*
Simply put, a gift of $1800 or more to the JCC at any point in the calendar year earns you a tax credit of 50% of your gift, for up to a $100,000 donation!
$1800 donation = $900 tax credit
$15,000 donation = $7,500 tax credit
$100,000 donation = $50,000 tax credit
The effect of the credit is that half of your donation to the JCC – as long as it is designated for the credit – is offset by a reduction of your Colorado income taxes. You will still be able to claim your full contribution as a charitable deduction on your Federal and State income tax returns if you itemize deductions, meaning your donation earns even greater returns!
The JCC programs that are eligible for Colorado Child Care Contribution Credit are our Early Learning School, Camp Shai, and Ranch Camp. In addition, an undesignated gift or gift given to area of greatest need at the JCC, as well as gifts to a fundraising event such as the JCC’s Annual Celebration, are also eligible for the 5C.
- The maximum credit you may take in any one year is $100,000 or your actual Colorado income tax liability for the year, whichever is less. However, any unused credit may be carried forward for up to five additional tax years.
- Only monetary donations are eligible. In-kind gifts, such as stock or other securities, labor, or equipment do not qualify for the tax credit.
- Contributions for which an Enterprise Zone Credit is taken are not eligible for this credit.
HOW IT WORKS THROUGH THE JCC:
- The JCC will process 5C statements for any gift greater than $1800.
- IMPORTANT: Please write “Colorado Child Care Contribution Credit” or “5C” in the memo line of your check or donation card. If giving online, please note that your gift is for the Colorado Child Care Contribution Credit (5C) option.
- As required by law, the JCC Denver will provide each donor with a signed statement confirming the amount of the monetary contribution eligible for the credit and the eligible purpose for which the contribution will be used.
*We always recommend that you consult with your tax adviser to determine how the credit will specifically benefit you.