                                 CODE OF VIRGINIA

DONATIONS OF CONTRACTING SERVICES (§ 58.1-439.23)

A. A sole proprietor, partnership or limited liability company engaged in the
business of providing contracting services shall be eligible for a tax credit
under this article based on the time spent by the proprietor or a partner or
member, respectively, who renders contracting services to a program that has
received an allocation of tax credits from the Commissioner of Social Services.
The value of the contracting services, for purposes of determining the amount of
the tax credit allowable, rendered by the proprietor or a partner or member to
an approved program shall not exceed the lesser of (i) the reasonable cost for
similar services from other providers or (ii) $50 per hour.

B. A business firm shall be eligible for a tax credit under this article for the
time spent by a salaried employee who renders contracting services to an
approved program. The value of the contracting services, for purposes of
determining the amount of tax credit allowed to a business firm for time spent
by its salaried employee in rendering contracting services to an approved
project, shall be equal to the salary that such employee was actually paid for
the period of time that such employee rendered contracting services to the
approved program.

HISTORY: 1999, cc. 890, 909, § 63.1-325.1; 2002, c. 747, § 63.2-2005; 2008, c.
585.