A man gives his daughter a shoulder ride looking out over a mountain sunset

Enterprise Zone tax credit

The Colorado Enterprise Zone tax credit reduces the amount of state income tax you pay, in addition to federal and state charitable deductions you may receive for gifts to charity. You can nearly double the size of your gift and the impact of your generosity without increasing the net cost to you.

Mercy Hospital is one of several Enterprise Zones designated by the State of Colorado to encourage economic growth.

Tax credit details

Colorado residents who make qualifying gifts to the Mercy Hospital Foundation are eligible for a generous tax credit of up to 25% to use against their state income tax if giving an outright gift of cash, or 12.5% for gifts of appreciated assets, such as stocks and securities.

Mercy Hospital Foundation can accept up to $3 million annually in qualifying gifts. If the Foundation receives more than $3 million in qualifying gifts in a single year, the available tax credit will be granted to donors in the order in which those gifts were received.

The availability of the Enterprise Zone tax credit is subject to change at any time. There is no guarantee the tax credit will continue to be available in future years.

The amount of credit taken in one year cannot exceed the donor’s state tax liability. However, excess credit may be carried forward for up to five years.

The maximum credit a donor can claim per tax year is $100,000.

Enterprise Zone qualifying gift options

A qualifying gift is a monetary gift in the amount of at least $250 to Mercy Hospital Foundation specifically designated to the following areas at Mercy Hospital:

  • Heart and Vascular
  • Oncology
  • Gastroenterology
  • Family Birth Center
  • Neonatal Intensive Care Unit
  • Greatest Equipment Needs
  • Behavioral Health
  • Emergency Room Services
  • Mercy Project Patient Assistance

Please note: Hospice no longer applies for the Enterprise Zone credit.