The West Virginia Neighborhood Investment Program is up for renewal this year –
read on to learn more about the partnership between
From a media release:
Grappling with growing community needs and lost fundraising opportunities due to the COVID-19 pandemic, nearly 150 nonprofits, charities, foundations and United Ways across West Virginia
have sent a joint letter to Governor Jim Justice and the Legislature asking for the
renewal and expansion of a critical charitable giving incentive program
The West Virginia Neighborhood Investment Program (NIP) was established in 1996 to encourage donations to local nonprofit organizations. The tax credit program of $3 million each year allows 501(c)3 designated charities to apply for tax credit vouchers which are distributed to businesses and individuals who contribute to their organizations. Those charitable contributors support their communities while earning credits to reduce certain West Virginia business and personal taxes. Approximately 24,500 donations from individuals and businesses have been received throughout the life of the program. The NIP is set to end on June 30, 2021.
If a bill to renew the program does not pass during the 2021 legislative session,
the tax credits will expire and leave hundreds of West Virginia organizations without an
important tool to secure donations at a critical time for nonprofits that are
central to the state’s response to the COVID-19 pandemic.
Here's where things stand right now (Thanks to Philanthropy WV for this update):
Because of concerns from the executive branch regarding the increase of the allowable tax credit, the committee took up a substitute version of the bill. The committee substitute removed the increase in the tax credit to $5 million leaving the available credits at the current $3 million level. The House Finance committee adopted this amendment unanimously and sent it to the full House of Delegates with the recommendation that it do pass.
Constitutional rules require bills to be read on three days prior to passage. HB 2794 was scheduled for first reading on Monday, March 15 with possible passage by the full House of Delegates on Wednesday, March 17.
While the House Finance amendment removed the increase in vital tax credits for non-profits, the advancement of HB 2794 and its passage in the House creates positive momentum that can be utilized as we
work collectively to restore the increase in credits in the Senate.
The work is not over - if NIP has enhanced the work of your organization be sure to share!