The Pennsylvania Educational Improvement Tax Credit (PA EITC) program allows businesses in the Commonwealth to earn a tax credit for up to 90% of certain Pennsylvania taxes when they make a donation to a "scholarship organization," a special category under the state tax code. The Pathway School has that designation, so a gift to the School may result in a substantial tax credit, not simply a deduction. In effect, it costs a dime to donate a dollar. Funds received under this program provide direct support to students who qualify for needs based tuition assistance. If your business is subject to one or more of the following Pennsylvania taxes, it is eligible to participate in this program.
Corporate Net Income Tax
Capital Stock Franchise Tax
Bank & Trust Company Shares Tax
Title Insurance Companies Shares Tax
Insurance Premiums Tax
Mutual Thrift Institutions Tax
Personal Income Tax of S corporation shareholders or partnership partners
The application process is simple, but application deadlines and timely compliance is critical as there is a yearly statewide cap and tax credits are awarded on a first-come, first-served basis. Applications for new EITC participants (one or two-year applicants) will be accepted on July 1, 2011. Applications for the second year of a two-year commitment will be accepted beginning May 16, 2011.
Click here for the Commonwealth's guidelines. Within this application packet is the application form
*For additional information please contact Louise Robertson, Senior Director of Development at 610-277-0660 extension 212, lrobertson@pathwayschool.org
