Through Washington State’s Main Street Tax Credit Incentive Program, eligible businesses can redirect a portion of their state Business & Occupation (B&O) or Public Utility Tax (PUT) to support local economic development efforts, a news release from the Olympia Downtown Alliance stated.
Rather than those dollars going into the state’s general fund, businesses can choose to keep them working locally, supporting a welcoming and economically-strong downtown Olympia.
“This program gives businesses a powerful choice,” Desiree Freeland, executive director of the Olympia Downtown Alliance said. “It allows them to align their tax dollars with their values and directly invest in their downtown, further elevating where their customers gather, shop, dine, and connect.”
Once the business has made a donation request and it is approved by the Washington state Department of Revenue, the business becomes eligible for a 75% tax credit on its contribution to the Olympia Downtown Alliance. The program has a statewide annual cap of $5 million, and credits are awarded on a first-come, first-served basis.
Businesses are strongly encouraged to pledge before March 31.
Credits secured during the first quarter are considered “non-competitive,” meaning they are guaranteed for the local program once approved. After March, remaining credits move into a competitive statewide pool, making it more difficult for Olympia to secure funding, according to the release. Early pledging helps ensure downtown Olympia receives its full share of available funding.
Any Washington state business that pays B&O or Public Utility Tax (PUT) may participate. Location within Olympia is not required. Businesses may contribute up to $250,000 annually and may donate to multiple eligible organizations. Each participating organization has its own cap on how much it can receive.
Businesses can make a pledge by:
Once approved, the contribution can be made and the tax credit for future tax obligations secured.
Funds received through the Main Street Tax Credit Program support the Olympia Downtown Alliance’s work to strengthen downtown through:
For more information about how to participate, visit https://tinyurl.com/4a97vbft or contact Desiree Freeland, Executive Director of the Olympia Downtown Alliance at dfreeland@downtownolympia.org.
