This calculator is for informational purposes only and is not
intended to provide an exhaustive and completely accurate
representation of what each individual’s tax savings may be.
Further, this calculator has certain assumptions for ease
of use. Those assumptions are: that each person itemizes their
deductions on their personal federal income tax return; that they
know what federal income tax rate they are subject to; and each user
has already reached the $10,000 cap on the federal deduction of
state and local taxes. For personalized tax guidance, each person
should consult their own tax advisor.
The “State Tax Deduction Savings” amount is based upon Colorado’s
income tax rate of 4.4%. This income tax rate is fixed by statute
and is accurate as of November 2023.
The “Colorado Child Care Contribution Credit” is 50% of the amount
of a contribution made to a qualifying Colorado childcare charitable
organization. The credit is currently capped at $100,000 by the
state of Colorado.
The “Federal Tax Deduction Savings” amount is based upon the chosen
Federal Tax Rate applied to the federally deductible contribution
amount. The federally deductible contribution amount is the donation
amount reduced by the amount of the Colorado Child Care Contribution Credit.