Choose Life Mississippi
Tax Credits for Businesses
What is the PRCO Act?
The Pregnancy Resource Act recognizes the vital work of pregnancy centers. It allows businesses to redirect their tax dollars to invest in the life-saving work of serving women in crisis situations. This groundbreaking law reserves $10 million in annual tax credits for eligible donations. This means that… Mississippi allows you to pay would-be tax dollars directly to a pregnancy center instead of the State. It’s money you already owe, so your bottom line won’t change!
Let’s say you owe $10,000 in taxes – you could choose to pay the state of Mississippi $10,000, or you could choose to allocate up to $5,000 to a PRCO.
Businesses can apply before making large donations based on their previous state and ad valorem taxes. Businesses are given an acknowledgment of the tax credit amount to be filed with their tax filing.
Dollar-for-Dollar Tax Credit
- Allows businesses to invest in lifesaving work of pregnancy centers per year for the amount given to a PRCO
- It creates a dollar-for-dollar tax credit (not a deduction)
- The credit is for as much as 50% of the business’s tax liability
- The credit can be carried forward for up to 5 years
- It’s only $10 million per calendar year, so the credit is offered on a first-come, first-served basis
What Business’ Qualify?
Businesses with an MS income tax liability are engaged in commercial, industrial, or professional activities that operate as a corporation, LLC, partnership, or sole proprietorship.
Steps to Participate
For the calendar year 2025, the Department will begin accepting applications online on Thursday, January 2, 2025, at 8:00 am CST. Applications must be submitted online.
- Visit MSDOR at tap.dor.ms.gov to apply. Click “Apply for a Charitable Contribution Credit” to begin the PRCO credit application. A response of eligibility will be mailed within 30 days of receiving your application.
- Donate to the pregnancy care center from the qualified business account within 60 days of receiving MSDOR’s letter.
- Upload your donation receipt to MSDOR within the same 60 days to secure your credit allocation.
Act NOW to Claim Your Credit! There is a limited amount of tax credit money available each calendar year, so act quickly to take advantage of the credit.
- Within 30 days of receipt, MSDOR will send a notification of allocation.
- Businesses may receive a tax credit by giving it to qualified pregnancy care centers. Click HERE for agencies that apply. The gift must be received within 60 days of receiving MSDOR notification of allocation.
- Businesses or individuals can give a tax-deductible gift to Choose Life Mississippi or our Mississippi Pregnancy Centers.
- Send donation verification to the MSDOR (CPC receipt letter). Verification must be received within 60 days of receipt of notification of allocation.
The Mississippi Department of Revenue will allocate credits within a calendar year.
The Pregnancy Resource Act allows for allocations each calendar year beginning January 1, 2023 and ending December 31, 2023. This information is not intended to give tax advice. Please consult with your tax professional about your specific tax questions.
For more information, visit https://www.dor.ms.gov/business/eligible-charitable-organizations-childrens-promise-act
