DeKalb County Community Foundation joins state tax credit program for donors

SYCAMORE – Donors who give to the DeKalb County Community Foundation’s endowment funds can now qualify for a 25% Illinois income tax credit.

The Community Foundation recently announced its partnership with the new Illinois Gives Tax Credit program which went into effect Jan. 1, according to a news release.

Eligible endowed funds are permanent funds where the principal remains intact, generating investment growth and annual distributions are made to benefit local charities and causes, according to the foundation.

“This new tax credit program provides an incredible opportunity for donors to give back to the causes they care about while receiving a unique Illinois state income tax benefit,” Community Foundation Executive Director Dan Templin said in a news release. “We encourage donors and local charities to take advantage of this initiative to support lasting, impactful philanthropy in our community.”

Key program details:

• Eligibility: Endowed Community Impact Funds, Designated Funds, Field of Interest Funds, and Scholarship Funds at the DeKalb County Community Foundation that benefit Illinois organizations qualify for this tax credit. Donor Advised Funds are not eligible.
• Tax advantage: Since 90% of Americans take the federal standard deduction, this state tax credit offers an additional way for donors to benefit financially from their charitable contributions.
• Support for local charities: Donors can work with local nonprofits to direct their gifts to eligible endowed funds held at the foundation, providing sustainable annual income to those organizations.

How to participate:

• Create a MyTax Illinois account – Donors or their accountants must register at mytax.illinois.gov to participate.
• Apply for a Contribution Authorization Certificate – Once registered, donors apply for a CAC through MyTax Illinois, selecting the DeKalb County Community Foundation as the recipient.
• Submit CAC to the Community Foundation – The certificate must be provided to the foundation before making a donation.
• Complete donation – The donation must be completed within 15 days of the issued CAC.
• Receive Certificate of Receipt – Once verified, donors receive a COR for tax filing purposes.

For a step-by-step guide on navigating MyTax Illinois and completing the donation process, visit dekalbccf.org/Illinois-Gives or contact us for assistance.

For more information or assistance on donations, contact Templin at 815-748-5383 or dan@dekalbccf.org.