Section 85-1C-008 - Documentation and Valuation of Contributions008.01 Documentation of Contributions Documentation evidencing contributions made to projects or programs certified for Tax Credit status by the Department must be submitted to the Department, along with Form CDAA 1 - Tax Credit Request Form when requesting a Tax Credit. The Department may request additional documentation, as the facts and circumstances may require (or to substantiate the value of the contribution), but documentation shall generally be as follows:
008.01A Cash contribution - Cash contributions may be shown by a photocopy of both sides of the canceled check, or proof of electronic funds transfer which includes documentation from the bank account of origin and destination. Checks must be made payable to the Community Betterment Organization and noted specifically for that project or activity, and electronic funds transfers must be into the Community Betterment Organization's bank account for the project or program certified for Tax Credit Status by the Department.008.01B Contribution of real property - Real property contributions may be shown by the deed and documentation of at least one independent appraisal of the real property by a real property appraiser credentialed under the Nebraska Real Property Appraiser Act, Neb. Rev. Stat. §§ 76-2201 to 76-2250.008.01C Contribution of Equipment or Supplies - Equipment and supply contributions may be shown by copies of invoices signed by both the contributor and the Community Betterment Organization receiving the equipment or supplies.008.01D Contribution of Services - Service contributions include provision services to a Community Betterment Organization that if not provided, the Community Betterment Organization would have to pay for, or purchase. Service contributions shall be shown by an affidavit submitted by the Individual or Business Firm demonstrating the net cost of the donated services (time spent providing services times the hourly wage plus other benefits paid to personnel providing the services); or (2) documentation of two price quotes obtained by the contributor demonstrating the cost of the services provided.008.01E Contribution of Stock - Stock contributions must be converted into cash before the Community Betterment Organization receives the donation. Stock contributions may be shown as cash contributions as provided in 008.01A.008.01F Other Contributions - Other contributions may be shown by affidavit (or other signed statement deemed acceptable to the Department) identifying the contribution, the value of the contribution and how the value was determined, along with other information, as may be requested by the Department for the particular situation.008.02 Valuation of Contributions The value of eligible contributions made to Community Betterment Organizations for projects or programs certified for Tax Credit status by the Department will be determined based upon the valuation of charitable contributions for federal income tax established by the United States Internal Revenue Service.
008.03 Qualification as Charitable Contribution for Federal Income Tax The Act requires that Tax Credits for contributions made to a project or program that was certified for Tax Credit status by the Department be for contributions which may qualify as a charitable contribution deduction on the federal income tax return filed by the Business Firm or Individual making such contributions.
In addition to documentation required by Section 8.01 of these Rules and Regulations, the Department may require documentation from Business Firms or Individuals that demonstrates that contributions made to programs or projects approved and certified by the Department for Tax Credit Status may qualify as a charitable contribution deduction on the federal income tax return filed by the Business Firms or Individuals.
85 Neb. Admin. Code, ch. 1C, § 008