IRS Gift Substantiation
The U.S. Treasury Department and the Internal Revenue Service published proposed regulations in September that would permit, but not require, charitable nonprofits to file a new, separate information return with the IRS annually to substantiate contributions of more than $250 in value and would require the nonprofit to collect the donor’s name, address, and Social Security number or other taxpayer identification number. This process could impose significant costs and burdens on nonprofit organizations, would create public confusion and disincentives for donors to support the work of nonprofits, and could lead to increased fraud. Also, the Treasury and IRS have stated that the current system “works effectively, with the minimal burden on donors and donees.” Click here for more information.
Take Action: We encourage you to submit comments to the proposed regulations that explain the real-world consequences of the rule to help inform government officials before a final decision is made. Whether you want to file a lengthy analysis, a short opinion, or even just a sentence, make your voice heard!
2016 Neighborhood Investment Program Renewal
The Neighborhood Investment Program (NIP) was established in West Virginia in 1996 to encourage charitable giving to local nonprofits. The program allows 501(c)3 organizations to apply for tax credit vouchers which they then distribute to businesses and individuals who contribute to their organization. By donating to approved NIP organizations, contributors can support their communities while earning credits to reduce certain West Virginia taxes. Since this program’s creation, there has been a marked increase in itemized charitable giving in the state.
If legislation to renew the program doesn’t pass during the 2016 legislative session, this program will expire.
Take Action: The West Virginia Nonprofit Association and Philanthropy WV are making renewal of the Neighborhood Investment Program a top priority. We need your help in order to be successful! Click the Take Action button below to use our legislative toolkit including a timeline of items to take action on and resources to contact your representatives. Don’t let this important program end. Take action now!
Our mailing address is:
PO Box 1452, Lewisburg, WV 24901