When you, your family, or business create an endowed fund or make a gift to an existing community foundation endowed fund, your dollars go farther through a 50% Michigan Community Foundation Tax Credit. This year is the last year to take advantage of this great benefit. This year, the State of Michigan Legislature voted to end the Tax Credit. The Tax Credit is available only for donations through December 31, 2011.
To search for and contribute to an endowed fund at the Foundation click here
How it works
Current law permits taxpayers to reduce their Michigan Income Tax or Michigan Business Tax liability by a credit of 50% of the amount contributed to a community foundation endowment fund. This unique tax credit will no longer be available in the state of Michigan after December 31, 2011. All federal tax deductions for charitable contributions remain unchanged.
• If you contribute $200 or more, your tax credit will be $100 (maximum credit) for an individual filing singly.
• If you and your spouse contribute $400 or more, your tax credit will be $200 (maximum credit) for a married couple filing jointly.
• If your business contributes $10,000 or more, your tax credit will be $5,000 (maximum credit) or five percent of tax liability before claiming any credits, whichever is less, for taxpayers filing Michigan Business Tax returns.