Who can participate in the EITC/SPE scholarship fund?
Any household with a state tax liability (joint or individual) of $3,500 or more (including investment income) is eligible to participate.
Can I choose the tax credit amount to contribute to the EITC/SPE scholarship fund?
Yes. You can choose your donation amount up to your full tax liability, as long as the minimum threshold of $3,500 is met.
What if I've already paid my taxes throughout the year?
You will receive a 90% tax refund from the state next summer after filing your PA taxes since you paid twice (once to the state and once to the Central PA Scholarship Fund).
If I usually make quarterly tax payments can I just re-direct them to the program, or do I still need to send payments to the state as well?
You can contribute directly to the Central PA Scholarship Fund in lieu of sending estimated payments to the state. The PA tax credit will date January 1st on your K-1.
Can I send quarterly payments or do I need to make one payment for the entire year?
The program only accepts payments once a year, so donors only get one K-1. You can participate in the spring program to get your donation out of the way for the year or participate in the fall program and pay at the end of the year. The program is very popular so new donors need to reserve credits early in the year to make sure they can gain access to the credits.
When is the deadline to submit the form?
Tax credits are awarded on a “first come, first serve” basis and there is a cap set by the state. If you are interested, please don’t delay as credits do run out.
When do I mail my donation check?
Upon receipt of your Joinder Agreement, a letter with payment instructions will be sent.
Will participation in this program remain confidential?
Yes. Details of donations are always kept confidential and amounts are never shared.
Can my tax advisor contact you with questions?
Absolutely! We are happy to talk through this with your tax advisor.
When will I receive the documents to file with my income taxes?
Your Federal and State K-1 forms will arrive in February. The Federal K-1 will list your investment and Federal charitable contribution, which you deduct on Schedule A if you itemize. Your PA K-1 will list your 90% PA tax credit, which will go on Payment line 23 OC for Other Credit on your PA-40.