YOP FAQ

Girls on the Run St. Louis

Youth Opportunities Program (YOP) Tax Credit FAQ

 

What is YOP?

YOP is the Missouri Youth Opportunities Program.  YOP offers tax credits to offset income tax liability for eligible charitable donations to organizations making a positive difference in the economic welfare of the State of Missouri.  All individuals, LLCs, partnerships, banks or corporations that have Missouri tax liability are eligible for this program.

How could tax credits benefit me or my company?

Any donation of $1,000 or more gives you a 50% state tax credit.  A donation of $1,000 provides you a $500 state tax credit and more in tax savings.  Actual cash outlay is only $286.  A gift of $5,000 provides you a $2,500 state tax credit and after all other deductions results in only a $1,430 cash outlay.  (Note:  State tax credits are a direct reduction in Missouri taxes owed).

Wow!  Why does the State of Missouri do this? 

YOP rewards individuals, businesses and corporations for providing youth with opportunities for positive development and participation in community life.  The State of Missouri wants to help both nonprofits as well as its citizens.  Rather than giving a large grant, the State grants tax credits to partially reimburse eligible donors who themselves, actually fund programs like Girls on the Run St. Louis.  Basically, this enables existing and new donors to finance local projects with money they would otherwise owe on their taxes.  It’s a win-win situation for the donor, the organization and the State of Missouri.

How can the tax credits be used?

Donors have up to one year from the date of the contribution to complete the application process, but have up to 5 years to use credits to offset State income tax liability.

-Credits shall not exceed the donor’s liability in the tax year it is claimed

-A donor may receive a maximum of $200,000 in credits

What if I don’t owe anything this year in State taxes? What if I owe but don’t use all the credits in one year?

Even if you don’t owe, you still have State liability if you live or work in Missouri.  This simply lowers the amount you are responsible for and you will receive a refund.  If you don’t use all the credit in one year, you can use the remainder for up to five years.

Wait – Can I still take the full charitable deduction on my taxes and get the credit?

Yes! You can still claim it on both your Federal and State taxes as well as the tax credit for your State taxes.

How do I become eligible for YOP Tax Credits*?

It’s as simple as 1-2-3!

1.     Make a cash, credit card (MC or VISA) or stock contribution ($1,000 or more) to Girls on the Run St. Louis.

2.     Complete the application that accompanies your acknowledgement from Girls on the Run St. Louis and return to us for verification and forwarding to YOP.

a.     This requires your SSN or BIN, signature, notarization, and proof of donation

3.     File the simple MO-TC Form with your State income tax return.

a.     Necessary information is included with the Missouri Department of Economic Development’s approval notice.

 

*YOP Tax credits are available on a first come first served basis.