Pennsylvania EITC: Business Tax Credits for Scholarships

We could call it “EITC: What’s In It For Me?” or “Everything You Needed to Know About EITC (but were afraid to ask).”

But what we would like to convey to business owners, both large and small, is the ease with which you can direct your tax dollars from the coffers of the Commonwealth to St. Peter’s School. All scholarship monies will be used to admit students on a need-blind basis, supporting the School’s goal of a diverse student body.

The Educational Improvement Tax Credit enables businesses that make contributions to a Scholarship Organization (St. Peter’s School) to take a tax credit equal to 75% of the contribution, up to a maximum of $200,000 in a year. If a business agrees to make the same contribution in 2 consecutive years, a credit can be taken for 90% of the amount given to the School.

So…if yours is an organization authorized to do business in Pennsylvania…

And…if you pay Corporate Net Income Tax, Capital Stock Franchise Tax, Bank and Trust Company Shares Tax, Title Insurance Companies Shares Tax, Insurance Premiums Tax, or Mutual Thrift Institutions Tax, you can apply to participate in this terrific program!

A “contribution” can be a donation of cash, personal property or services. The value of services is the net cost to the donor, or the hourly wage of the person performing the services.

Click on the link to read complete information on the EITC, in moderately decipherable bureaucratic-speak. The one-page application (Appendix I-SO) is available for download. Please fill it out and return to the Development Office.

If you have any questions, please feel free to contact the Development Office. We hope that you will give serious consideration to strengthening your support of St. Peter’s School through this mutually beneficial, innovative program.