May 24, 2010; Source: Greenwich Time | State tax credits for corporate donations to nonprofits have been around for decades, pioneered we think by Pennsylvania in the early 1970s and replicated by a host of states such as Virginia, Delaware, Indiana, and others. With the recession, corporate interest may have flagged somewhat, but the credits aren’t dead.
This article recognizes six nonprofits approved by the Board of Selectmen in Greenwich, Conn., enabling the six to qualify for $354,776 in donations for businesses that pay taxes in the state—and obviously have taxes to pay that the credits (not deductions) can be used against.
It is a reminder that the Neighborhood Assistance Programs in these states usually require four parties to cooperate—corporate donors, nonprofit recipients, and local and state governments that approve the groups and the donations. Greenwich’s approved nonprofits, including the Greenwich chapter of the American Red Cross, the YWCA, Kids in Crisis, and Greenwich Adult Day Care, seem to be rather standard nonprofit service provider types, as opposed to the neighborhood revitalization groups that were characteristic of the early days of Pennsylvania’s program—particularly Tastykake’s model commitment to the Allegheny West neighborhood of Philadelphia.—Rick Cohen