Bulletin Number
VTB 83-11
Tax Type
Corporation Income Tax
Description
Neighborhood assistance projects
Topic
Credits
Date Issued
05-20-1983
Virginia Department of Taxation
83-11
DATE: May 20, 1983 SUBJECT: Neighborhood Assistance Act
The Neighborhood Assistance Act (House Bill 1451, Chapter 629, Acts of Assembly 1981) was enacted by the 1981 Session of the General Assembly to encourage direct investment by business firms in offering neighborhood assistance and providing job training, education, crime prevention, and community services to neighborhood organizations to benefit impoverished people or impoverished areas. The Act adds Chapter 19 to Title 63.1 of the Code of Virginia and consists of §§ 63.1-320 through 63.1-325.
The Act provides tax credits to qualified firms equal to one-half of amounts invested directly in approved neighborhood assistance projects or one-half of amounts contributed to neighborhood organizations engaged in such projects. Certain in-kind contributions as well as cash contributions may qualify for credit. Qualified credits may not exceed $175,000 nor be less than $50 and limited carryover provisions are applicable to unused credits. The tax credits are provided by § 58-151.032:4, Code of Virginia.
The Neighborhood Assistance Act is administered by the Virginia Department of Social Services. The Act is effective for taxable years beginning on and after July 13 1983, and it expires on June 30, 1986.
For additional information contact:
Neighborhood Assistance Program
Virginia Department of Social Services
8007 Discovery Drive
Richmond, Virginia 23288
(804) 281-9217
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