Endowment Gifts
You can leave a legacy to perpetually support the causes you love with an endowment gift. An endowment is a fund you can create now or in the future to achieve the impact you desire. Make a gift to a charitable endowment and be eligible for the Montana Charitable Endowment Tax Credit. The income earned on your endowment will provide lasting annual support to your charitable causes.
In 1997 the Montana Endowment Tax Credit ("METC") was introduced to promote
gifts to endowments that support Montana charities. Montana is one of only
four states to provide an endowment tax credit program.
The METC is available to individuals subject to income tax in Montana and
who contribute a qualified planned gift to a permanent endowment of a
501(c)(3) tax-exempt nonprofit charitable organization. Businesses may also
be eligible for this credit by making a cash gift to a qualified endowment
benefiting a 501(c)(3) tax-exempt nonprofit charitable organization.
Planned gifts to any of the Education Foundation for Billings Public Schools
endowed funds qualify for the Montana Endowment Tax Credit.
The credit amounts to 40% of the federal charitable deduction value of the
planned gift, up to a maximum of $15,000 per individual starting in January
2024. For businesses, the credit is calculated at 20% of the present value
of the outright gift, up to a maximum of $15,000.
The METC will provide a dollar-for-dollar reduction of your state income tax
liability. This means that a $15,000 tax credit can save you $15,000 in
taxes.
The credit can be claimed only in the year you make your planned gift, and
the program will not permit any carrying forward or backward of any unused
portions. The credit is also non-refundable, meaning the credit will not
result in a negative tax liability. However, the METC can be utilized each
year you make a qualified gift.
Contact the Education Foundation today to see how your gift may qualify for
the Montana Endowment Tax Credit.
*PLEASE NOTE: To be sure that your contribution is a qualified gift made to
a qualified endowment and that you are able to take full advantage of this
tax credit, you should consult a professional financial advisor, accountant
or seek legal advice.
