|
 Instead
of sending tax dollars to Harrisburg, would you rather
invest in your local school district? If your
answer is yes, then you will want to know about a tax
credit program that we feel is one of the
best-kept secrets
in the state.
Through gifts to the Educational Improvement Tax
Credit (EITC) Program:
- New technology is being brought into local
classrooms.
- Teachers are putting new ideas into practice.
- Students are learning from visits by authors,
artists, scientists, storytellers, and musicians.
Background on the EITC Program
Turn Your Tax Dollars into TAX CREDITS!
The Benefit to Your Business
Sample Calculations for "S" Corporations and "C"
Corporations
What Does EITC Fund?
EITC Program Application
Background on the EITC
Program
- The Commonwealth of Pennsylvania created the
EITC Program in 2001. Pennsylvania's Department of
Community and Economic Development (DCED)
administers the program.
- Tax credits through the EITC Program have been
so popular that the state has maintained or
increased the amount of credits available each year
since the program began.
- The Commonwealth of Pennsylvania has allocated
$45 million in tax credits to the EITC program for
2008/2009.
- The First Community Foundation of Pennsylvania
has been an approved EITC organization since 2002,
and grants through the program have provided area
teachers with funding to bring exciting new learning
opportunities to our students.
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Turn Your Tax Dollars into
TAX CREDITS!
If your business pays any of the following taxes to
the Commonwealth of Pennsylvania, you are eligible to
apply for EITC tax credits:
- Corporate Net Income Tax
- Capital Stock Franchise Tax
- Bank and Trust Company Share Tax
- Title Insurance Companies Share Tax
- Insurance Premiums Tax
- Mutual Thrift Institutions Tax
Your contribution will allow local districts to use
the dollars for the types of innovative educational
programs that they want to bring to our students.
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The Benefit to Your Business
The EITC Program provides your business with state
tax credits of up to 90% of your gift.
Additionally, your business may see a benefit in
federal taxes, because the gift is deductible for
federal tax purposes.
Why is this a win-win
situation?
- Businesses receive tax credits for gifts that
benefit area schools. These tax credits are for 75%
to 90% of the gift, depending on whether the
business makes a one-year or two-year commitment to
the program.
One-year commitment = 75% tax credit
Two-year commitment = 90% tax credit
- The maximum gift your business can make through
the EITC program is $200,000 for a two-year
commitment ($100,000 per year for up to two years).
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What Does EITC
Fund?
The Community Foundation is approved to administer
two EITC grant programs:
Educator in Residence Grants -
Provide funding to enable teachers to engage
writers, artists, musicians, scientists, business
leaders, naturalists, and others in supplementing
their curricula and lesson plans. Monies are
used to fund stipends, travel expenses, materials
and related costs incurred in bringing a
professional into the classroom.
Venture Grants for Teachers -
Provide funding to enable teachers to develop new
teaching approaches, creative lesson plans, new
learning models, and other educational outreach
beyond standard teaching practices. Monies are used
to fund specialized materials, purchase outsourced
resources, equipment integral to the venture
project, student travel, and other educational
outreach beyond standard teaching practices.
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How You Can Participate in
the EITC Program
- Decide on amount of the gift, and whether the
company will make a one-year commitment or a
two-year commitment. You may choose the school
districts that will benefit from your gift. Gifts
may also be given for the benefit of multiple
districts.
- Apply for approval through the Pennsylvania
Department of Community and Economic Development.
Applications are available at the DCED website -
click here to open the application page in a new
window. Applications are also available by
calling the Community Foundation toll free (866)
901-2372.
- If approved, your business makes a gift to the
Community Foundation. The Foundation will then
distribute your gift to the school districts through
grants for innovative educational programs. Each
district has a grant application process that allows
teachers to apply for these funds.
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For More Information
If you would like to speak to a Community Foundation
staff member about the EITC Program, please contact
Dawn Linn, Director of
Donor Relations, at (570) 321-1500, ext. 108. |
