Your EITC contribution changes lives
What are Pennsylvania Educational Improvement Tax Credits (EITC)?
EITC are tax credits for businesses that make a donation to a scholarship organization that assists children in attending the schools of their choice. Simply put, you contribute money for educational scholarships, and in turn, lower your tax liability. Some companies find that when they add in federal tax deductions, they save the same amount on taxes that they contributed to scholarships—a zero cost contribution.
Since 2001, Community Day School has received more than $5.7 million through the EITC program, which has provided for 1,000 needs-based scholarships for students in kindergarten through Grade 8, many of whom would not be able to attend CDS without EITC funding.
Which businesses qualify?
Businesses in Pennsylvania that pay any of the following:
Corporate Net Income Tax
Capital Stock and Franchise Tax
Bank and Trust Company Shares Tax
Title Insurance Companies Shares Tax
Insurance Premiums Tax
Mutual Thrift Institutions Tax
Shareholder and Partner personal income tax (S-Corps and Partnerships with pass-through tax liability)
How much of a tax credit can I get for my business?
75% for a 1-year commitment
90% for 2-year commitment
Eligible companies or partnerships may take up $750,000 in tax credits per year.
What scholarship organizations can businesses contribute to in order to receive the credit?
Businesses may contribute to qualified charitable organizations that are registered with the Department of Community and Economic Development (DCED). The Jewish Federation of Greater Pittsburgh has created an applicable organization, called the Pittsburgh Jewish Educational Improvement Foundation, that benefits CDS. Click here for more information
What is the process for businesses to receive the tax credit?
Businesses will apply to DCED for the tax credit. Tax credits are awarded on a first come, first served basis until the funds have been exhausted. After approval, businesses must make their contributions within 60 days to a listed scholarship organization.
For more information on how to make an impact through the EITC program, please contact Roi Mezare at email@example.com or 412-992-5230.