Skip to main content

NIP Tax Credits

NIP Tax Credits

PROACT, Inc. offers the valuable incentive of state tax credits for eligible cash and stock gifts made in support of the Access to Recovery Fund during 2021-2022.

The Neighborhood Investment Program (NIP), overseen by the West Virginia Development Office, provides state tax credits to businesses and individuals contributing to NIP-approved 501(c)(3) nonprofit organizations, like PROACT, that provide valuable services to their communities throughout West Virginia.

Businesses and individuals who contribute to PROACT are eligible to receive 50% of the contributed amount in the form of state tax credits. Donors may use the credits to reduce liability for the following West Virginia taxes:

  • Corporate Net Income Tax
  • Personal Income Tax

 

Frequently Asked Questions

What types of contributions are eligible for tax credit?
Contributions can be in the form of cash or stock gifts. The minimum eligible donation is $500.

How does a tax credit differ from a tax deduction?
A tax deduction reduces the amount of total income on which taxes are based. A tax credit is used to reduce total tax liability. Generally, a tax credit is worth substantially more than a tax deduction.

How are the tax credits reported?
Eligible contributors to PROACT will receive a tax credit voucher that lists the amount of the contribution (WV–NIPA–1). Simply attach the voucher along with a program worksheet (WV–NIPA–2) to the appropriate West Virginia tax form and deduct the tax credit amount from the tax due amount.

How to Give
Please mail your Annual Giving Form and gift, made payable to PROACT to:

PROACT
c/o Michael Haney
800 20th Street
Huntington, WV 25703