Neighborhood Assistance Program (NAP) Tax Credits
Through Virginia’s Neighborhood Assistance Program, businesses, trusts, and individuals that make donations to approved 501(c)(3) organizations are eligible to receive tax credits of up to 65% of their donation to be applied toward their Virginia state income tax liability.
Participation in this program allows donors to reduce their state tax burden while supporting Community Youth Program and our mission of providing free year-round academic and enrichment programming for Roanoke City Public School students. As always, the contribution remains 100% deductible on the taxpayer’s federal return.
Important Note
You must contact Mia Sappingfield at mia@cyproanoke.org or (540) 580-5709 before making your donation. Donations must be pre-approved to qualify for NAP tax credits. Community Youth Program has a limited number of credits available, which will be awarded on a first-come, first-served basis.
NAP credits are issued by the state to our program in July. Once available credits have been allocated, you may choose to join our wait list in the event that additional credits become available. We strongly encourage you to consult your accountant or tax advisor for further information before making a donation for NAP credits.
NAP Eligibility Requirements:
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All donations must be made directly to Community Youth Program (CYP) with no restrictions and without any conditions or expectations of monetary or other benefits received from CYP. Previous donations are not eligible.
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Donations must be made directly to Community Youth Program in the form of cash, check, credit card, or marketable securities. Donations made via a third party such as United Way or through a Donor Advised Fund do not qualify for NAP credits.
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Non-cash business donations (stock, merchandise, real estate, leased space, certain professional services) must be pre-approved by Community Youth Program and must be valued in accordance with NAP and IRS standards.
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An individual is limited to a maximum donation value of $125,000 per year. Tax credits will be denied by the Department of Taxation if the donor exceeds the maximum limit for combined donations made to VDSS and DOE. Currently, there is no maximum donation limit for a business or trust.
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Tax credits are non-refundable; however, NAP tax credits that exceed the donor’s total Virginia State tax liability may be carried forward for up to five years.
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Monthly donations are eligible if the donations total the minimum listed above within the six-month period of July–December or January–June.
NAP Tax Credit Process:
STEP 1: Contact Mia Sappingfield at mia@cyproanoke.org or (540) 580-5709 before making your donation. Mia will confirm whether CYP has tax credits remaining and determine if your donation is eligible for NAP tax credits.
STEP 2: Consult your accountant or tax advisor for guidance after reviewing CYP’s NAP rates, eligibility requirements, and the Virginia NAP Donor Fact Sheet and Frequently Asked Questions.
STEP 3: Make an eligible donation to Community Youth Program. Donations may be made online through our website or by mailing a check directly to CYP (1 Mountain Ave SW Roanoke, VA 24016). If you make a donation online, please consider covering the processing fee so that you receive credit for the full donation amount. The minimum eligible donation value must be met after deducting any online gift processing fees in order for the donor to qualify for NAP tax credits.
STEP 4: Complete the appropriate Contribution Notification Form (CNF). If your donation is under $10,000, you will also need to sign a Tax Credit Adjustment Agreement Form. All paperwork must be returned to CYP within 30 days of receiving your donation. Forms are available through the Virginia NAP website.
STEP 5: CYP staff will enter the donation information into the state database and upload all required supporting documentation.
STEP 6: It may take up to 8–12 weeks for the Virginia Department of Social Services (VDSS) to review and approve a donation once submitted.
STEP 7: Once approved, CYP will download and print your tax credit certificate and mail it to the address listed on the CNF. You will need to attach the certificate to your Virginia tax return.