Section 45IAC3.1-1-87. Limitation on credit for neighborhood assistance

   Limitation of Neighborhood Assistance Credit. The individual or corporation who makes the contribution in the approved program may take a credit of fifty percent (50%) of the amount invested for the taxable year. If the contribution is of a non-monetary nature, the allowable credit will be 50% of the fair market value at the time of the contribution. In no case, however, may the credit exceed $25,000.00.

  EXAMPLE: F.U.G. Corporation made an $80,000.00 qualified contribution during the taxable year to the G.U.F. Neighborhood Organization, which is a tax exempt organization for Federal and State tax purposes. The allowable Neighborhood Assistance Credit for F.U.G. Corporation is determined as follows:

Amount contributed	$80,000.00
50% of contribution	40,000.00
Allowable credit	25,000.00*

  *[The allowable credit is the lesser of $25,000.00 or 50% of the contribution.] (Department of State Revenue; Reg 6-3-3.1-4(010); filed Oct 15, 1979, 11:15 am: 2 IR 1542; errata, 2 IR 1743)