Wilton Brings Departments, Organizations In The Know On Tax Credits
May 9, 2019
By CCM staff
Towns and cities across the state should know about all the possible sources of fiscal relief offered; the Neighborhood Assistance Act (NAA) Tax Credit Program from the Connecticut Department of Revenue Services, is aimed directly at municipalities and tax exempt organizations. The Town of Wilton announced that they were partaking in this program, putting out a bulletin to all interested community programs.
According to the state’s website, the NAA is “designed to provide funding for municipal and tax exempt organizations by providing a corporation business tax credit for businesses who make cash contributions to these entities.”
In addition to municipal departments, community programs that qualify include, energy conservation, education, community services, crime prevention, open space acquisition fund, employment and training, child day care facilities, and child care services; giving the NAA a wide berth to be offered to a wide array of municipal programs.
The minimum contribution on which credit can be granted is $250 and the maximum tax credit is $150,000 for in order to qualify for a tax credit, and under this program, the credit will be 60% of their approved contributions or up to 100% in the case of energy conservation programs.
For Tax-exempt organizations and... back to top
Even though this program is open to tax-exempt organizations as well as municipal agencies, the NAA forms must be submitted by the participating municipality for approval, and each municipality will have their own guidelines and deadlines for submission. The municipality must have completed submissions sent in by July 1, 2019 for this year. Wilton requested that departments or organizations make the town aware by May 1, 2019 that they intend to participate, and a completed form submitted by May 24, right before the Memorial Day weekend.
In their release on the tax credit, Wilton said that “as overseeing municipal agency, the Town of Wilton must 1) complete section IV of all NAA-01 forms, 2) hold a public hearing on all program applications,” which will be brought up at the June 3, 2019 Board of Selectman meeting. Once this is done, they only have to meet the July deadline.
Approval letters will be mailed out by the Department of Revenue Services.
These kinds of tax credits can be useful in every municipality in Connecticut. It’s important to follow Wilton’s lead and get that word out to all departments and organizations in your municipality.