Virginia Charitable Tax Deductions
NAPE - Neighborhood Assistance Act - Tax Credit
The Neighborhood Assistance Act Tax Credit Program for Education (NAPE) allows individuals to receive state tax credits from the Commonwealth of Virginia for qualifying donations made to approved "neighborhood organizations." The value of each credit is up to 65% on the dollar - e.g., a donation of $1000 can be rewarded with $650 in Virginia state tax credits. The program is administered by the Virginia Department of Education (VDOE), and credits are awarded for the tax year within which the qualifying donation is made.
HEF is an approved "neighborhood organization" and was awarded $133,965.00 in tax credits to award to donors during the NAPE program year of July 2025 - June 2026. This means that up to $205,000.00 worth of qualifying donations made to HEF between July 2025 and June of 2026 could be rewarded with tax credits. And while neighborhood organizations may give out credits that are worth less than 65% of a gift's value, the Henrico Education Foundation gives the full 65%.
What is a qualifying donation?
HEF defines a qualifying donation as:
An unrestricted donation of $1000 or more.
The following donation types qualify:
- Checks
- Credit Card Payments
- Cash
- ACH/Wire Payments
What donations are not eligible?
- Donations made for event sponsorships and tickets
- Donations to the capital campaign
- Donations under $1000
- Gifts from Donor Advised Funds (DAF)
- Qualified Charitable Distributions (QCD)
- In-kind donations
How can I receive NAPE credits from HEF for myself or my business?
Before making a donation for which you would like to receive NAPE credits, please contact the Henrico Education Foundation : rrowland@henricogives.org to confirm that we still have credits available.
Once you’ve received confirmation from HEF that there are credits available, you may proceed to make a qualifying donation (see donations that are not eligible, above). Once you make a donation, we have 40 days to process your NAPE credits before your donation becomes ineligible to receive credits. Please promptly fill out the NAPE Contribution Notification Form – there are separate versions for individuals (TCR-I) and businesses (TCR-B) – and please return it to the HEF finance department via email or mail, or by bringing it to our office. Please ensure you have completed Section 1 and signed and dated the form in Section3. HEF staff can assist you with filling out this form if you have any questions.
Once the HEF finance department has the form, they will process your donation with the Virginia Department of Education. Once this process is complete, they will email you a certificate for your NAPE tax credits for use when filling your Virginia taxes.
Process and Timeline
Contact HEF with intention to make a NAPE-Qualifying gift
Receive approval from the HEF Finance Team
Make donation (40-day timer starts)
Fill out NAPE form (if we have an email address on file for you, we will send this to you once you have made your donation)
Return NAPE form to the HEF finance Team
The HEF Finance Team will process your donation with the VDOE
NAPE credit certificate is awarded by VDOE (40-day count ends)
HEF Finance Team will email you a copy of your NAPE credit certificate
File your taxes for the year when you made the first and receive your tax credits
HEF Contact Information:
Email Robin Rowland at: rrowland@henricogives.org
Donation Address for mailing or drop-off:
Henrico Education Foundation Finance Office
8401 Patterson Ave. Suite 203 Henrico, VA 23294
Sources and Further Reading:
VDOE neighborhood Assistance Act Overview
TCR-I Tax Credit Request Form for Individuals
TCR-B Tax Credit Request Form for Businesses
Guidelines for the Neighborhood Assistance Act Tax Credit Program for Education
Please consult with a Tax Advisor for specific questions about your participation in the NAPE tax credit program.