Colorado Tax Credit
The State of Colorado offers a 50% income tax credit for donations to child care centers. As a leader in early childcare and education, Early Connections Learning Centers donors are eligible to receive the maximum 50% tax credit.
What does that mean?
This means that your individual or corporate contribution to Early Connections Learning Centers has a direct impact on the lives of over 700 children AND it has the additional benefit of reducing your Colorado tax liability.
Figures in the table are based on a 33% tax bracket.
- Tammy Rahaim, Early Connections Board Member
Standard Deduction
The CARES ACT: a new tax incentive in response to COVID-19.
The CARES Act allows for an additional, “above-the-line” deduction for charitable gifts made in cash of up to $300. This provision is extended into 2021 for taxpayers filing single/separately.
New in 2021 is an additional “above-the-line” deduction for those married filing jointly. Joint filers (who aren’t itemizing) will be allowed to take an above-the-line deduction of up to $600 in cash contributions to charity this year
Itemized Deduction
The adjusted gross income (AGI) limit for cash contributions to qualifying charities remains increased for individual donors. For cash contributions made in 2021, you can elect to deduct up to 100 percent of your AGI (formerly 60 percent prior to the CARES Act).