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Kitchen Theatre Capital Campaign for
A BOLD NEW SPACE
Maintaining the Intimacy, Expanding the Possibilities

New York State Empire Zone Capital Tax Credit Information

On April 21, 2009 the Kitchen Theatre Campaign for A BOLD NEW SPACE became an approved Empire Zones Community Development Project under a New York State Department of Economic Development program. The Kitchen Theatre has been allocated $132,500 in Empire Zone Capital Tax Credits toward the purchase and renovation of the building at 417 Martin Luther King Street (West State Street).

This means: Any individual or corporation, subject to NYS taxes and making a minimum donation of $1,000 to the Kitchen Campaign by June 30, 2010, may receive a NYS tax credit equal to 25% of the donation. (This is a dollar for dollar tax credit in addition to the regular charitable gifts donation.) The donation can be made in the form of a one or two-year pledge with the final payment being made before 6/30/2010.

Example: A donation of $4,000 would give the donor a NYS tax credit of $1,000 (25% of $4,000) in the year the donation was received. A two-year pledge of $4,000, with $2,000 given in each year (2009 and 2010), would give the donor NYS tax credits of $500 (25% of $2,000) in each year.

The process: Contact Managing Director Stephen Nunley at the KTC office (607-272-0403) to make certain your gift will qualify, sign a pledge form, make the donation and complete NYS form Z7 Application for Eligibility. (On form Z7 in the Amount of Contribution field use the total amount you are donating in current year. A new Z7 form must be completed for donations in the coming year.) Your application will be submitted to the local Empire Zone Office (TCAD) which approves and passes it on to the state. The NYS Department of Economic Development in Albany approves the application and returns a Certificate of Eligibility to Apply for Empire Zone Credit (form Z10). You attach the Certificate to your tax return and receive the tax credit on your NYS tax return.

Notes:

  • The tax credit applied in any given year must be less than 50% of the tax levied in that year. However, any unused tax credits can be rolled forward to the next year indefinitely, until the entire tax credit has been fully utilized.
  • The Kitchen Theatre has received $132,500, which translates to $530,000 in donations (of $1,000 or more) that can receive the tax credit. These donations must be received during the following period: 4/20/2009 – 6/30/2010. Donations before or after that period are not eligible for the tax credit.
  • A three-year pledge would be eligible for tax credits in the first two years (2009 & 2010). 2010 donation must be received by 6/30/2010.
  • The existing Empire Zone Program is scheduled to sunset on 6/30/2010.

For questions and information:
Contact Stephen Nunley at the KTC office: (607) 272-0403.