PORT TOWNSEND — Downtown merchants have an opportunity to apply donations to the Port Townsend Main Street Program to their 2012 business and occupation tax.
The opportunity is available to anyone who pays the tax, generally known as B&O tax, and the deadline for contributions is Dec. 31.
In 2005, the Port Townsend Main Street program worked with other revitalization programs across the state to introduce and help pass legislation creating a state B&O Tax Credit Incentive Program for businesses investing in local downtown revitalization programs.
This year $1.5 million in tax credits is available statewide. The Port Townsend Main Street Program can receive up to $133,333 in contributions.
Port Townsend Main Street Executive Director Mari Mullen said that businesses benefit in two ways, 75 percent of the donation is returned as B&O tax credits in 2012 and the entire contribution may qualify as a 501(c)(3) charitable deduction on businesses’ 2011 federal income tax return.
“This is a way to make sure that the money paid for B&O tax stays in the community,” Mullen said.
“It helps keep the dollars here and supports what we do for the support and preservation of our Downtown and Uptown shopping districts.”
Mullen said that 14 merchants have signed on so far.
“This is a great way to support Main Street without costing us very much,” said Elevated Ice Cream bookkeeper Marge Roark.
“The money gets used in our civic enrichment programs.”
Roark said the store made a $600 contribution that — with all of the deductions — in the end cost only $57.
This is the third year that Elevated Ice Cream has participated in the program, Roark said.
The Port Townsend Main Street Program is part of a national nonprofit network that supports and promotes historical commercial districts.
Anyone who pays B&O taxes in Washington State can participate in the incentive program.
Those wishing to participate need to sign up to e-file with the Washington State Department of Revenue at www.dor.wa.gov, then select List of Services, then Apply for Main Street Tax Credit, and Get Started before selecting the Port Townsend Main Street Program as the recipient and entering a contribution amount.
For more information about the program, contact Tiffany Volkman at the state Department of Revenue at 360-902-7126 or tiffanyv@dor.wa.gov.
For more information about Port Townsend Main Street, phone 360-385-7911.
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Jefferson County Reporter Charlie Bermant can be reached at 360-385-2335 or charlie.bermant@peninsuladailynews.com.
