{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-439.21.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-439.21.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-439.21.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-439.21.html"}],"law_id":55593,"edition_id":1,"section_id":55593,"structure_id":14309,"section_number":"58.1-439.21","catch_line":"Tax credit; amount; limitation; carry over","history":"1981, c. 629, \u00a7 63.1-324; 1982, c. 178; 1984, c. 720; 1986, c. 407; 1989, c. 310; 1995, c. 279; 1996, c. 77; 1997, cc. 229, 640; 1999, cc. 890, 909; 2002, c. 747, \u00a7 63.2-2003; 2008, c. 585; 2009, c. 851; 2011, c. 370; 2012, cc. 731, 842; 2015, c. 56.","full_text":"A\n\nThe Superintendent of Public Instruction and the Commissioner of Social Services shall certify to the Department of Taxation, or in the case of business firms subject to a tax under Article 1 (§ 58.1-2500 et seq.) of Chapter 25 or Article 2 (§ 58.1-2620 et seq.) of Chapter 26, to the State Corporation Commission, the applicability of the tax credit provided herein for a business firm.B\n\nA business firm shall be eligible for a credit against the taxes imposed by Articles 2 (§ 58.1-320 et seq.), 6 (§ 58.1-360 et seq.), and 10 (§ 58.1-400 et seq.) of Chapter 3, Chapter 12 (§ 58.1-1200 et seq.), Article 1 (§ 58.1-2500 et seq.) of Chapter 25, or Article 2 (§ 58.1-2620 et seq.) of Chapter 26, in an amount equal to 65 percent of the value of the money, property, professional services, and contracting services donated by the business firm during its taxable year to neighborhood organizations for programs approved pursuant to § 58.1-439.20. Notwithstanding any other law and for purposes of this article, the value of a motor vehicle donated by a business firm shall, in all cases, be such value as determined for federal income tax purposes using the laws and regulations of the United States relating to federal income taxes. No tax credit shall be granted for any donation made in the taxable year with a value of less than $616.\n\t\t\tA business firm shall be eligible for a tax credit under this section only to the extent that sufficient tax credits allocated to the neighborhood organization for an approved project are available. Notwithstanding that this section establishes a tax credit of 65 percent of the value of the qualified donation, a business firm may by written agreement accept a lesser tax credit percentage from a neighborhood organization for any otherwise qualified donation it has made. No tax credit shall be granted to any business firm for donations to a neighborhood organization providing job training or education for individuals employed by the business firm. Any tax credit not usable for the taxable year the donation was made may be carried over to the extent usable for the next five succeeding taxable years or until the full credit has been utilized, whichever is sooner. Credits granted to a partnership, electing small business (Subchapter S) corporation, or limited liability company shall be allocated to their individual partners, shareholders, or members, respectively, in proportion to their ownership or interest in such business entities.C\n\nA tax credit shall be issued by the Superintendent of Public Instruction or the Commissioner of Social Services to a business firm upon receipt of a certification made by a neighborhood organization to whom tax credits were allocated for an approved program pursuant to § 58.1-439.20. The certification shall identify the type and value of the donation received, the business firm making the donation, and the tax credit percentage to be used in determining the amount of the tax credit. The certification shall also include any written agreement under which a business firm accepts a tax credit of less than 65 percent for a donation.","order_by":null,"text":{"0":{"id":203803,"text":"The Superintendent of Public Instruction and the Commissioner of Social Services shall certify to the Department of Taxation, or in the case of business firms subject to a tax under Article 1 (§ 58.1-2500 et seq.) of Chapter 25 or Article 2 (§ 58.1-2620 et seq.) of Chapter 26, to the State Corporation Commission, the applicability of the tax credit provided herein for a business firm.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":203804,"text":"A business firm shall be eligible for a credit against the taxes imposed by Articles 2 (§ 58.1-320 et seq.), 6 (§ 58.1-360 et seq.), and 10 (§ 58.1-400 et seq.) of Chapter 3, Chapter 12 (§ 58.1-1200 et seq.), Article 1 (§ 58.1-2500 et seq.) of Chapter 25, or Article 2 (§ 58.1-2620 et seq.) of Chapter 26, in an amount equal to 65 percent of the value of the money, property, professional services, and contracting services donated by the business firm during its taxable year to neighborhood organizations for programs approved pursuant to § 58.1-439.20. Notwithstanding any other law and for purposes of this article, the value of a motor vehicle donated by a business firm shall, in all cases, be such value as determined for federal income tax purposes using the laws and regulations of the United States relating to federal income taxes. No tax credit shall be granted for any donation made in the taxable year with a value of less than $616.\n\t\t\tA business firm shall be eligible for a tax credit under this section only to the extent that sufficient tax credits allocated to the neighborhood organization for an approved project are available. Notwithstanding that this section establishes a tax credit of 65 percent of the value of the qualified donation, a business firm may by written agreement accept a lesser tax credit percentage from a neighborhood organization for any otherwise qualified donation it has made. No tax credit shall be granted to any business firm for donations to a neighborhood organization providing job training or education for individuals employed by the business firm. Any tax credit not usable for the taxable year the donation was made may be carried over to the extent usable for the next five succeeding taxable years or until the full credit has been utilized, whichever is sooner. Credits granted to a partnership, electing small business (Subchapter S) corporation, or limited liability company shall be allocated to their individual partners, shareholders, or members, respectively, in proportion to their ownership or interest in such business entities.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":203805,"text":"A tax credit shall be issued by the Superintendent of Public Instruction or the Commissioner of Social Services to a business firm upon receipt of a certification made by a neighborhood organization to whom tax credits were allocated for an approved program pursuant to § 58.1-439.20. The certification shall identify the type and value of the donation received, the business firm making the donation, and the tax credit percentage to be used in determining the amount of the tax credit. The certification shall also include any written agreement under which a business firm accepts a tax credit of less than 65 percent for a donation.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B"}},"ancestry":[{"id":14309,"edition_id":1,"name":"Neighborhood Assistance Act Tax Credit","identifier":"13.2","label":"article","depth":4,"order_by":1,"parent_id":13152,"metadata":{},"date_created":"2026-06-26 03:47:41","date_modified":"2026-06-26 03:47:41","permalink":{"id":253653,"object_type":"structure","relational_id":14309,"identifier":"13.2","token":"58.1\/I\/3\/13.2","url":"\/58.1\/I\/3\/13.2\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13152,"edition_id":1,"name":"Income Tax","identifier":"3","label":"chapter","depth":3,"order_by":1,"parent_id":12837,"metadata":{},"date_created":"2026-06-26 03:44:21","date_modified":"2026-06-26 03:44:21","permalink":{"id":253267,"object_type":"structure","relational_id":13152,"identifier":"3","token":"58.1\/I\/3","url":"\/58.1\/I\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12837,"edition_id":1,"name":"Taxes Administered by the Department of Taxation","identifier":"I","label":"subtitle","depth":2,"order_by":1,"parent_id":12703,"metadata":{},"date_created":"2026-06-26 03:43:55","date_modified":"2026-06-26 03:43:55","permalink":{"id":252075,"object_type":"structure","relational_id":12837,"identifier":"I","token":"58.1\/I","url":"\/58.1\/I\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12703,"edition_id":1,"name":"Taxation","identifier":"58.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":251959,"object_type":"structure","relational_id":12703,"identifier":"58.1","token":"58.1","url":"\/58.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":71554,"structure_id":14309,"section_number":"58.1-439.18","catch_line":"Definitions","url":"\/58.1-439.18\/","token":"58.1\/I\/3\/13.2\/58.1-439.18","metadata":false},{"id":80953,"structure_id":14309,"section_number":"58.1-439.19","catch_line":"Public policy; business firms; donations","url":"\/58.1-439.19\/","token":"58.1\/I\/3\/13.2\/58.1-439.19","metadata":false},{"id":81203,"structure_id":14309,"section_number":"58.1-439.20","catch_line":"Proposals to the State Board of Social Services; regulations; tax credits authorized","url":"\/58.1-439.20\/","token":"58.1\/I\/3\/13.2\/58.1-439.20","metadata":false},{"id":68205,"structure_id":14309,"section_number":"58.1-439.20:1","catch_line":"Proposals to the Department of Education; guidelines; tax credits authorized","url":"\/58.1-439.20_1\/","token":"58.1\/I\/3\/13.2\/58.1-439.20_1","metadata":false},{"id":79720,"structure_id":14309,"section_number":"58.1-439.20:2","catch_line":"Expiration","url":"\/58.1-439.20_2\/","token":"58.1\/I\/3\/13.2\/58.1-439.20_2","metadata":false},{"id":55593,"structure_id":14309,"section_number":"58.1-439.21","catch_line":"Tax credit; amount; limitation; carry over","url":"\/58.1-439.21\/","token":"58.1\/I\/3\/13.2\/58.1-439.21","metadata":false},{"id":73200,"structure_id":14309,"section_number":"58.1-439.22","catch_line":"Donations of professional services","url":"\/58.1-439.22\/","token":"58.1\/I\/3\/13.2\/58.1-439.22","metadata":false},{"id":66992,"structure_id":14309,"section_number":"58.1-439.23","catch_line":"Donations of contracting services","url":"\/58.1-439.23\/","token":"58.1\/I\/3\/13.2\/58.1-439.23","metadata":false},{"id":79905,"structure_id":14309,"section_number":"58.1-439.24","catch_line":"Donations by individuals","url":"\/58.1-439.24\/","token":"58.1\/I\/3\/13.2\/58.1-439.24","metadata":false}],"previous_section":{"id":79720,"structure_id":14309,"section_number":"58.1-439.20:2","catch_line":"Expiration","url":"\/58.1-439.20_2\/","token":"58.1\/I\/3\/13.2\/58.1-439.20_2","metadata":false},"next_section":{"id":73200,"structure_id":14309,"section_number":"58.1-439.22","catch_line":"Donations of professional services","url":"\/58.1-439.22\/","token":"58.1\/I\/3\/13.2\/58.1-439.22","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-439.21\/","history_text":"

This law was first created in 1981. The record of its establishment is cataloged in chapter 629 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1981 \u201cActs\u201d aren\u2019t available online. It has been modified 14 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1982, chapter 178; in 1984, chapter 720; in 1986, chapter 407; in 1989, chapter 310; in 1995, chapter 279<\/a>; in 1996, chapter 77<\/a>; in 1997, chapters 229<\/a> and 640<\/a>; in 1999, chapters 890<\/a> and 909<\/a>; in 2002, chapter 747<\/a>; in 2008, chapter 585<\/a>; in 2009, chapter 851<\/a>; in 2011, chapter 370<\/a>; in 2012, chapters 731<\/a> and 842<\/a>; in 2015, chapter 56<\/a>.<\/p>","references":[{"id":73200,"section_number":"58.1-439.22","catch_line":"Donations of professional services","order_by":null,"url":"\/58.1-439.22\/"}],"refers_to":[{"id":54678,"section_number":"58.1-1200","catch_line":"Title","order_by":null,"url":"\/58.1-1200\/"},{"id":56221,"section_number":"58.1-2500","catch_line":"Definitions","order_by":null,"url":"\/58.1-2500\/"},{"id":54193,"section_number":"58.1-2620","catch_line":"Basis of tax","order_by":null,"url":"\/58.1-2620\/"},{"id":62270,"section_number":"58.1-320","catch_line":"Imposition of tax","order_by":null,"url":"\/58.1-320\/"},{"id":82371,"section_number":"58.1-360","catch_line":"Imposition of tax","order_by":null,"url":"\/58.1-360\/"},{"id":60955,"section_number":"58.1-400","catch_line":"Imposition of tax","order_by":null,"url":"\/58.1-400\/"},{"id":81203,"section_number":"58.1-439.20","catch_line":"Proposals to the State Board of Social Services; regulations; tax credits authorized","order_by":null,"url":"\/58.1-439.20\/"}],"permalink":{"id":253675,"object_type":"law","relational_id":55593,"identifier":"58.1-439.21","token":"58.1\/I\/3\/13.2\/58.1-439.21","url":"\/58.1-439.21\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-439.21\/","token":"58.1\/I\/3\/13.2\/58.1-439.21","dublin_core":{"Title":"Tax credit; amount; limitation; carry over","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-439.21","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> The Superintendent of Public Instruction and the Commissioner of Social Services<\/span> shall certify to the Department<\/span> of Taxation, or in the case of business firms<\/span> subject to a tax under Article 1 (§ 58.1-2500<\/a> et seq.) of Chapter 25 or Article 2 (§ 58.1-2620<\/a> et seq.) of Chapter 26, to the State Corporation<\/span> Commission, the applicability of the tax credit provided herein for a business firm<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> A business firm<\/span> shall be eligible for a credit against the taxes imposed by Articles 2 (§ 58.1-320<\/a> et seq.), 6 (§ 58.1-360<\/a> et seq.), and 10 (§ 58.1-400<\/a> et seq.) of Chapter 3, Chapter 12 (§ 58.1-1200<\/a> et seq.), Article 1 (§ 58.1-2500<\/a> et seq.) of Chapter 25, or Article 2 (§ 58.1-2620<\/a> et seq.) of Chapter 26, in an amount equal to 65 percent of the value of the money, property, professional services<\/span>, and contracting services<\/span> donated by the business firm<\/span> during its taxable year to neighborhood organizations<\/span> for programs approved pursuant to § 58.1-439.20<\/a>. Notwithstanding any other law<\/span> and for purposes of this article, the value of a motor vehicle donated by a business firm<\/span> shall, in all cases, be such value as determined for federal income tax purposes using the laws<\/span> and regulations of the United States relating to federal income taxes. No tax credit shall be granted for any donation made in the taxable year with a value of less than $616.\n\t\t\tA business firm<\/span> shall be eligible for a tax credit under this section only to the extent that sufficient tax credits allocated to the neighborhood organization<\/span> for an approved project are available. Notwithstanding that this section establishes a tax credit of 65 percent of the value of the qualified donation, a business firm<\/span> may by written agreement accept a lesser tax credit percentage from a neighborhood organization<\/span> for any otherwise qualified donation it has made. No tax credit shall be granted to any business firm<\/span> for donations to a neighborhood organization<\/span> providing job training<\/span> or education<\/span> for individuals<\/span> employed by the business firm<\/span>. Any tax credit not usable for the taxable year the donation was made may be carried over to the extent usable for the next five succeeding taxable years or until the full credit has been utilized, whichever is sooner. Credits granted to a partnership, electing small business (Subchapter S) corporation<\/span>, or limited liability company shall be allocated to their individual<\/span> partners, shareholders, or members, respectively, in proportion to their ownership or interest in such business entities. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> A tax credit shall be issued by the Superintendent of Public Instruction or the Commissioner of Social Services<\/span> to a business firm<\/span> upon receipt of a certification made by a neighborhood organization<\/span> to whom tax credits were allocated for an approved program pursuant to § 58.1-439.20<\/a>. The certification shall identify the type and value of the donation received, the business firm<\/span> making the donation, and the tax credit percentage to be used in determining the amount of the tax credit. The certification shall also include any written agreement under which a business firm<\/span> accepts a tax credit of less than 65 percent for a donation. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nTAX CREDIT; AMOUNT; LIMITATION; CARRY OVER (\u00a7 58.1-439.21)\n\nA. The Superintendent of Public Instruction and the Commissioner of Social\nServices shall certify to the Department of Taxation, or in the case of business\nfirms subject to a tax under Article 1 (§ 58.1-2500 et seq.) of Chapter 25\nor Article 2 (§ 58.1-2620 et seq.) of Chapter 26, to the State Corporation\nCommission, the applicability of the tax credit provided herein for a business\nfirm.\n\nB. A business firm shall be eligible for a credit against the taxes imposed by\nArticles 2 (§ 58.1-320 et seq.), 6 (§ 58.1-360 et seq.), and 10\n(§ 58.1-400 et seq.) of Chapter 3, Chapter 12 (§ 58.1-1200 et seq.),\nArticle 1 (§ 58.1-2500 et seq.) of Chapter 25, or Article 2 (§\n58.1-2620 et seq.) of Chapter 26, in an amount equal to 65 percent of the value\nof the money, property, professional services, and contracting services donated\nby the business firm during its taxable year to neighborhood organizations for\nprograms approved pursuant to § 58.1-439.20. Notwithstanding any other law\nand for purposes of this article, the value of a motor vehicle donated by a\nbusiness firm shall, in all cases, be such value as determined for federal\nincome tax purposes using the laws and regulations of the United States relating\nto federal income taxes. No tax credit shall be granted for any donation made in\nthe taxable year with a value of less than $616.\n\t\t\tA business firm shall be eligible for a tax credit under this section only to\nthe extent that sufficient tax credits allocated to the neighborhood\norganization for an approved project are available. Notwithstanding that this\nsection establishes a tax credit of 65 percent of the value of the qualified\ndonation, a business firm may by written agreement accept a lesser tax credit\npercentage from a neighborhood organization for any otherwise qualified donation\nit has made. No tax credit shall be granted to any business firm for donations\nto a neighborhood organization providing job training or education for\nindividuals employed by the business firm. Any tax credit not usable for the\ntaxable year the donation was made may be carried over to the extent usable for\nthe next five succeeding taxable years or until the full credit has been\nutilized, whichever is sooner. Credits granted to a partnership, electing small\nbusiness (Subchapter S) corporation, or limited liability company shall be\nallocated to their individual partners, shareholders, or members, respectively,\nin proportion to their ownership or interest in such business entities.\n\nC. A tax credit shall be issued by the Superintendent of Public Instruction or\nthe Commissioner of Social Services to a business firm upon receipt of a\ncertification made by a neighborhood organization to whom tax credits were\nallocated for an approved program pursuant to § 58.1-439.20. The\ncertification shall identify the type and value of the donation received, the\nbusiness firm making the donation, and the tax credit percentage to be used in\ndetermining the amount of the tax credit. The certification shall also include\nany written agreement under which a business firm accepts a tax credit of less\nthan 65 percent for a donation.\n\nHISTORY: 1981, c. 629, \u00a7 63.1-324; 1982, c. 178; 1984, c. 720; 1986, c. 407;\n1989, c. 310; 1995, c. 279; 1996, c. 77; 1997, cc. 229, 640; 1999, cc. 890, 909;\n2002, c. 747, \u00a7 63.2-2003; 2008, c. 585; 2009, c. 851; 2011, c. 370; 2012, cc.\n731, 842; 2015, c. 56.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}