The Children’s Promise Act Tax Credit for Individuals

An income tax credit is available for voluntary cash contributions from individuals made to a Qualified Foster Care Charitable Organization (QFCCO). The amount of the credit is limited to the lesser of five hundred dollars ($1200) or the amount of the contribution in any taxable year for a single individual or a head of household, and the lesser of one thousand dollars ($2400) or the amount of the contribution in any taxable year for a married couple filing a joint return.

Yes. Hope Village is registered with the Mississippi Department of Revenue as a Qualified Foster Care Charitable Organization (QFCCO).

• The taxpayer must apply for the tax credit on the forms prescribed by the Mississippi Department of Revenue.

• In the application, the taxpayer must certify to the department the dollar amount of the contribution made or to be made during the calendar year.

• Within thirty (30) days after receipt of the application, the Mississippi Department of Revenue shall allocate tax credits based on the dollar amount of the contribution as certified in the application.

• Once the Mississippi Department of Revenue has allocated credits to a taxpayer, the taxpayer must make the contribution and send the verification of the contribution to the Mississippi Department of Revenue. Verification sent by the taxpayer to Mississippi Department of Revenue must be received within sixty (60) days from the date of the allocation notification.

• If the contribution is not made within sixty (60) days, the tax credit allocation will be cancelled by the Mississippi Department of Revenue for reallocation.

No.

Taxpayers filing as “single” and “head of household” status may claim a maximum credit of $1200. Taxpayers filing as “married filing separate” may claim a maximum credit of $500. Taxpayers that file as “married filing joint” may claim a maximum credit of $2400.

You may only claim a tax credit for your charitable contribution on your Mississippi state return if the organization you donated to is considered a Qualified Foster Care Charitable Organization (QFCCO).

You cannot claim both a deduction and a credit for the same charitable contribution on your Mississippi return.

The Children’s Promise Act tax credit is only a dollar-for-dollar reduction on your Mississippi state taxes. Consult with your tax professional for questions about deductions on your Federal Return.

• The Mississippi Department of Revenue will allocate credits within a calendar year.

• The tax credits provided by the Children’s Promise Act are limited to $3,000,000 per calendar year.

• The Children’s Promise Act allows for allocations each calendar year beginning January 1, 2024 and ending December 31, 2024.

Taxpayers can choose to donate to Hope Village for Children, a Qualified Foster Care Charitable Organization, not to exceed the individual tax credit limit.