Bonham Theatre Project Announces Donor Tax Credit

For the Bonham Theatre Project, good news arrived recently with two significant monetary plans, which will help generate fundraising momentum to renovate the historic Bonham Theatre in downtown Fairbury.

Bonham Theatre Project has received approval from the Nebraska Department of Economic Development  (DED) for qualification of the renovation of the Bonham Theatre under the Community Development Assistance Act (CDAA).  CDAA empowers DED to distribute a 40 percent (40%) state income tax credit to businesses or individuals who make eligible contributions to approved community betterment projects.

Bonham Theatre Project gathered pledges during the month of April to demonstrate community commitment to DED.  Fulfilled pledges will generate the tax credit, as will new contributions.

WHO CAN RECEIVE TAX CREDITS FROM BONHAM THEATRE PROJECT?
Any person or business that donates $1,000 or more is eligible for the credit.  For 2014 only cash and commodity donations will qualify.

WHAT IS THE LIMIT?
The minimum donation is $1,000 and the maximum is $62,500.  The credits will be allocated by Bonham Theatre Project on a first-come, first-served basis until the $25,000 income tax credit limit is reached.  Bonham Theatre Project can apply to DED for additional credits if significant interest warrants.

Examples:
$1,000 donation X 40% = $400 state income tax credit
$5,000 donation X 40% = $2,000 state income tax credit
$10,000 donation X 40% = $4,000 state income tax credit

HOW DO I RECEIVE MY TAX CREDITS?
After making an eligible contribution to Bonham Theatre Project the business or individual must complete and submit Form CDAA1 to DED, along with proof of the contribution.  DED will then send the contributor copies of the completed Form 1099NTC to be attached to the contributor’s state income tax return.  Bonham Theatre Project will assist in providing the needs forms to file.

HOW LONG DO I HAVE TO CLAIM A CREDIT?
The credit must be claimed on the income tax return for the year in which the contribution is made.  Any tax credit balance may be carried over and applied against the tax liability for the next five years immediately succeeding the tax year in which the credit was first properly claimed and allowed.

QUESTIONS?
Please contact Debby Ebke, Treasurer at 402-446-7436, 402-300-7146 (cell), or debbyebke@gmail.com

Additionally, Bonham Theatre Project has also been awarded a $50,000 challenge grant by The Sherwood Foundation to address fire, life safety, and ADA requirements.  The Sherwood Foundation will match the next $50,000 raised by Bonham Theatre Project with a contribution of $50,000.

“These two developments are exciting news for Bonham Theatre Project,” said treasurer Debby Ebke.  “Each $1,000 contributed to Bonham Theatre Project will qualify the donor for state income tax credit in addition to generating a matching contribution. For example: a $1,000 donation will not only yield the donor a state tax credit of $400, but it will be matched for a combined $2,000 benefit to Bonham Theatre Project – a win-win scenario for all.  Bonham Theatre Project is very grateful for the support of DED and The Sherwood Foundation”

– See more at: http://www.fairbury.com/pages/entertainment/bonham.html#sthash.0fmohW7G.dpuf

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