Overall Tax Credit FAQsclick here to view Questions and Answers
Why do you need my Social Security or Employment Identification Number?
The Oregon Department of Revenue now requires that all tax credit contributions include a Social Security Number or Employment Identification Number. This will help the Department of Revenue connect your contribution to your tax return. Your personal identification is secure and will never be shared with anyone besides the Department of Revenue. View the Oregon IDA Security Documentation for Handling Donor Information.
Do contributions also qualify for a deduction on a federal tax return?
We are restricted from offering tax advice. As you know, tax issues are very complicated and can vary on a case-by-case basis. You (or your clients) should consult tax and/or financial advisors before committing funds to the IDA Initiative or any other tax credit program. This information is not intended to offer nor held out as offering tax or investment advice to any individual or business.
If someone doesn’t need to apply all of one’s tax credits this year, can the credits be used next year?
Yes. Excess tax credits can be carried over for up to three years.
Is there a limit to the amount of contributions the Oregon IDA Initiative may receive each year?
The “cap” on contributions to the Initiative is now calculated differently. We are limited to $7.5 million in state expenditure each year. This is a slight increase over previous funding levels. Track the availability of credits here.
What do I do if an acknowledgement letter has been misplaced for a previous contribution? Are copies available?
We’re happy to help. If you are the donor, contact Hannah Waterman by email or phone (503) 226-3001 x107 and we can mail you and/or email you a copy of the acknowledgement(s). If you are a CPA or financial advisor requesting on behalf of your client, please have your client email us, authorizing us to send you a copy of the acknowledgement. The letter will indicate the tax credit percentage for the contribution.
What changes have been made to the Oregon IDA Tax Credit?
In 2015, the Oregon Individual Development Account (IDA) Tax Credit was renewed until 2022. In the renewing legislation (ORS 315.271) the Oregon Legislature specified a state contribution of $7.5 million, a tax credit rate not to exceed 70% and no maximum contribution limit for an individual taxpayer.
In 2016, a $500,000 limit on tax credits an individual can claim on contributions was instated. Neighborhood Partnerships, in concert with Oregon Housing and Community Services (OHCS), proposed several strategies to maximize funding to the Oregon IDA Initiative while maintaining quality relationships with donors and financial professionals that have been built over many years. The effectiveness of these strategies will be regularly evaluated.
Since 2017, Oregon IDA Tax Credits have been issued in whole dollars only. We will round down for amounts 49 cents and less. We will round up for amounts 50 cents and greater. For example, a donation by check of $500.75 will equal a tax credit of $351.00 rather than $350.53.
What is the maximum an individual can contribute?
There is a $500,000 limit on tax credits an individual can claim on contributions. For instance, if someone were to contribute via check at the 70% tax credit rate they would be able to donate up to about $714,285.71.
What is the minimum an individual can contribute?
There is a no minimum.
Check Contribution FAQsclick here to view Questions and Answers
What happens if I send in a check and tax credits run out around the same time?
In order for your contribution to “count” it must be physically received in our office and processed by our staff by the time tax credits run out. If we receive your check in the mail after the tax credits sell out, we will return your check with a letter explaining what happened. It is our policy that we do not accept checks in the current year for the following year.
Credit Card Contribution FAQsclick here to view Questions and Answers
The credit card company charges our nonprofit a 3% transaction fee. Many Oregonians with low incomes could benefit from this additional funding. Thank you for understanding.
What if I am having trouble completing the transaction online? Can I give you my credit card number over the phone?
For security reasons, we are not allowed to take credit card contributions over the phone. You can dial (503) 226-3001 x107 or x102 and we will work with you to complete the transaction online. 95% of issues with completing transactions usually occur because:
– The contribution amount has been entered incorrectly. Please do not use any commas or dollar signs.
– For instance if you are trying to contribute ten-thousand dollars enter: 10000 or 10000.00
– The following is wrong:
$10000, 10,000; 10,000.00
– Your bank may decline the transaction because you have not alerted them that the large contribution is intentional, and not fraudulent. Please be sure to check your credit limit and alert your bank of your contribution ahead of time.
Stock and Mutual Fund Contribution FAQsclick here to view Questions and Answers
How will my stock be valued?
Please read our stock valuation policy.
What’s changed from previous years?
Donors may now give stock contributions throughout the year, so long as tax credits are remaining.