Colorado Homeless Contribution Income Tax Credit (HCTC)
Make a significant impact on homelessness while substantially reducing your Colorado state income tax liability. Through Colorado’s Homeless Contribution Income Tax Credit (HCTC) (established by HB22-1083), qualifying gifts made to HAAT Force eligible projects qualify for a state tax credit:
- 25% State Tax Credit on eligible contributions.
- Up to $100,000 in tax credits per taxpayer per tax year.
- 5-Year Carryforward: If your credit exceeds your Colorado tax liability for the year, you can carry the excess forward for up to 5 tax years.
How it Works
Donation Amount
- 25% State Credit: $125
- Estimated Net Out-of-Pocket: ~$255
Donation Amount
- 25% State Credit: $250
- Estimated Net Out-of-Pocket: ~$510
Donation Amount
- 25% State Credit: $1,250
- Estimated Net Out-of-Pocket: $2,550
*Illustrative estimate based on itemized federal deductions (24% federal tax bracket). Always consult your tax professional or CPA for specific guidance.
Frequently Asked Questions
What is the Homeless Contribution Income Tax Credit (HTCTC)?
The HCTC is an incentive enacted under Colorado Revised Statutes (C.R.S. 39-22-548) and administered by the Colorado Division of Housing (DOH). It encourages private contributions to approved organizations providing severe weather sheltering, housing, and vital case management services to individuals and families experiencing or at imminent risk of homelessness.
How is a tax credit different from a tax deduction?
- Tax Deduction: Lowers your total taxable income.
- Tax Credit: Directly reduces the dollar amount of Colorado state income taxes you owe.
Because the HCTC is a credit, a $1,000 donation yields an immediate $250 direct reduction from your Colorado tax balance.
What types of donations are eligible?
- Monetary Donations: Gifts of $100 or more via cash, check, credit card, electronic transfer, or payroll deduction.
- Recurring Contributions: Cumulative donations during the calendar year qualify once your total contributions reach $100 (e.g., $25/month for 4 months).
- Qualified Charitable Distributions (QCDs): Cash transfers of $100 or more made directly from an IRA.
- In-Kind Contributions & Stock: Gifts of stock, property, or virtual currency valued at over $5,000 with an independent third-party valuation.
Are any donations ineligible?
- Monetary gifts totaling less than $100.
- Donor-Advised Funds (DAFs): Contributions made through a Donor-Advised Fund are not eligible under Colorado statute.
- Direct benefits received (e.g., the fair market value of event dinners or merchandise must be deducted from the eligible gift amount).
- In-kind gifts valued at $5,000 or less.
- Credit card/platform processing fees covered directly to a payment processor.
How do I make sure my donation qualifies?
- Designate “HCTC” in the memo line or notes section.
- Provide your identifying tax info (Full Legal Name, Mailing Address, and the last 4 digits of your SSN/ITIN or full FEIN for business entities).
How and when do I get my Tax Credit Certificate?
HAAT Force submits eligible contributions to the Colorado Division of Housing’s secure Salesforce database. Once approved, you will receive your official state tax certificate via a secure link sent to your email (or by mail upon request). You will attach this certificate when filing your Colorado State Income Tax Return (DR 0104).
Donate to Make a Difference
What will my donation provide?
$25 per month will provide 5 nights of shelter for an individual.
$50 per month helps provide food, shelter and transportation for four families.
$100 per month provides for our Severe Weather Shelter Assistants with lived experience.
A one time $4000 donation will provide 40 rooms to shelter our clients for one night.
$50
$100
$250
$500
Other
Make a Donation
HAAT Force— Homelessness Awareness and Action Task Force South Metro
~HAAT Force is a registered 501c3~
Address: 4300 S Lincoln St, Englewood, Co 80113
Telephone: 720-483-7864
Contact: info@haatforce.org