Individuals and corporations that contribute to public libraries and/or the Idaho Commission for Libraries are eligible for tax savings. Idaho Code section 63-3029A allows individuals and corporations to take a tax credit for monetary charitable contributions made to public libraries, library districts, and the Idaho Commission for Libraries.
An individual taxpayer’s contribution to a public library is allowed as an itemized deduction on the federal return and on the Idaho return. In addition, the taxpayer received an Idaho tax credit for the contribution. The credit is limited to the smallest of one-half of the amount contributed, 50% of the individual’s income tax, or $500 ($1,000 on a joint return).
This credit is also available to Idaho corporations that make a monetary charitable contribution to a public library or library district located in Idaho, or the Idaho Commission for Libraries. For corporations, the credit is limited to the smallest of one-half of the amount contributed, 10% of the corporation’s income tax, or $5,000.
Donations of goods or services do not qualify.
If you have questions, please check with your accountant and/or the Idaho State Tax Commission.