Related Use Regulations . . . donors can receive a maximum allowable deduction for donated items such as equipment when the college has a related use for the donated items.

ENDOWNEBRASKA . . . legislative bill LB 1010 was signed into law on April 12, 2006 and is designed to allow tax credits for individuals and corporation that invest in Nebraska by funding endowments of qualifying Nebraska based not-for-profit organizations. Highlights of this new law include:

• Tax credits for gifts to permanently endowed funds of Nebraska-based non-profits for the benefit of organizations, Communities and charitable purposes in Nebraska.
  
  
• A maximum annual non-refundable credit of $5,000; no carry forward. A 10% credit for outright gifts of cash and other assets From C corporations, estates and trusts.
  
  
• A 15% credit for the present value of irrevocable planned gifts from Individuals, S corporations, partnerships, limited liability companies, Estates and trusts.
  
  
• Planned Gifts that Qualify:
  * Charitable Gift Annuity
  * Charitable Remainder Trust
  * Wealth Replacement Trusts
  * Charitable Lead Trusts
  * Paid Up Life Insurance
  * Retained Life Estates
  
  
• This legislative program is scheduled to sunset on December 31, 2009. For more information and answers to frequently asked questions, log on to www.nebraskataxcredit.com

Pension Protection Act of 2006 . . . was signed into law in August of 2006 and allows qualified distributions from IRA’s to charitable organizations, with the gift being excluded from the donor’s income for tax purposes. While the contribution is not eligible for a charitable deduction, there is also no income tax due on the transfer.

This legislation provides an opportunity for tax advantaged giving to our Foundation’s mission of support to McCook Community College. This law remains in effect through December 31, 2007, and allows an individual to give up to $100,000 from IRA accounts to qualified charities in each calendar year. Interested individuals should check with their IRA providers regarding restrictions, to inquire about the process to make such a gift, and consult their attorney and/or financial advisor prior to making a donation to the McCook College Foundation under the provisions of this legislation.