Missouri residents and institutions that make donations to Aim High are probably eligible to receive a significant tax credit under Missouri’s Youth Opportunity Program (YOP). Donors may contribute up to $400,000 per calendar year to Aim High and, in return, receive half of the donation back in the form of a Missouri state tax credit. Aim High tax credits are limited and available on a first-come, first-serve basis. Click on the following the link to view the Missouri tax credit application.
How do Credits Differ from Deductions?
A tax credit is a reduction of the taxes you owe the State of Missouri. When you donate to Aim High, you may be eligible to deduct the amount of your donation from your taxable income for the purposes of reducing your federal and state income tax bills.
Who is Eligible?
Any entity or individual who pays Missouri income tax and files a Schedule A for itemized deductions may receive a tax credit. This includes:
- S Corps
What Forms of Donations are Eligible?
- Mutual Funds
If the donor does not owe enough taxes in the tax year in which the contribution is made, can the credit be used on subsequent tax returns?
Yes. The contributor may apply the tax credit in the tax year the contribution was given or in the five succeeding tax periods.