VA NAP Credits
Make a Difference & Get More Back!
What if giving to a good cause could do more than help your community and your generosity
could also help you save on your Virginia state taxes?
That’s where Virginia's Neighborhood Assistance Program (NAP) tax credits come in and if you pay taxes in Virginia
and you’re considering making a gift to DRBA, this is something worth knowing about.
So, What Exactly Are NAP Credits?
The Virginia Neighborhood Assistance Program, or NAP, is a state program designed to encourage Virginia individuals and businesses to support approved nonprofits that help people and communities in need. DRBA applies annually for the Neighborhood Assistance Program Education Fund which helps provide funding for our environmental education programs throughout Virginia.
When you make a qualifying donation of $500 or more to an approved NAP organization, like DRBA, you may be eligible to receive a Virginia state tax credit worth up to 65% of your donation.
In other words, your gift can make a meaningful difference while a portion of that gift may come back to you as a credit against your Virginia state taxes.
Here’s an example:
Imagine you make a $1,000 qualifying donation.
If the full 65% NAP tax credit is available, you could receive a $650 Virginia tax credit.
That means your gift still puts $1,000 to work supporting DRBA’s mission while the tax credit could reduce your Virginia state tax liability by $650. Your generosity can go further than you might think.
Of course, everyone's tax situation is different and a tax credit is not the same thing as a tax refund. We strongly encourage you to consult a tax professional about how the credit would apply to your individual situation.
Why Consider Giving Through NAP?
Your gift can have a bigger impact. If you’re already thinking about giving, NAP gives you another reason to consider making that gift now. When tax credits are available at DRBA, NAP can help offset part of the cost of your donation through a Virginia state tax credit.
You’re supporting DRBA and your community. NAP exists to encourage support for organizations serving communities across Virginia. Your donation to DRBA isn't just a transaction. It’s an investment in people, opportunity and a stronger community.
You may be able to give with greater confidence. Sometimes people want to give but hesitate because they’re thinking about their own household or business budget. NAP may help make the decision easier. If you qualify and NAP credits are available, part of your donation may be credited against your Virginia state taxes.
Don’t Wait Too Long
There’s one important thing to remember: NAP tax credits are limited.
DRBA needs to seek approval for NAP credits from Virginia annually and if we are approved, we receive a set amount of tax credits during the state's fiscal year of July 1 through June 30. So if you’ve been thinking about supporting DRBA, now is a great time to ask about NAP and check with us before making a donation to make sure credits are still available.
Bottom Line
You love what DRBA does and you decide to give a donation. We put your generosity to work AND you may receive a valuable Virginia tax credit. That’s a powerful combination!
To find out more about DRBA's NAP credits
please contact drba.nc@danriver.org or call (336) 627-6270
NAP tax credits are subject to eligibility requirements, available credit allocations and other Virginia rules. Please confirm NAP credit availability with DRBA before donating and consult your tax professional regarding your individual tax situation.
More about the Neighborhood Assistance Act for Education
