PA Tax Credit Programs
Discover how your business can give the gift of a Wyndcroft education.
Did you know that through the Pennsylvania Educational Improvement Tax Credit (PA EITC) and the Pennsylvania Opportunity Scholarship Tax Credit (PA OSTC), businesses in the Commonwealth can earn a tax credit for up to 90% of certain Pennsylvania taxes when they make a donation to a “Scholarship Organization” such as The Wyndcroft School?
Where would you rather send your money - Harrisburg or Wyndcroft?
Every gift made by a Pennsylvania business through these tax credit programs enables Wyndcroft to assist deserving and talented students from Berks, Chester and Montgomery counties who otherwise would not be able to afford this education. Please consider making the Wyndcroft experience possible for even more qualified students through these powerful programs.
How do these programs work?
Tax credits are available on a first-come, first-serve basis for contributions to Scholarship Organizations such as The Wyndcroft School. Tax credits may be applied against the tax liability of a business for the tax year in which the contribution was made. A business may receive a tax credit equal to 75% of its contribution, up to a maximum of $750,000 per taxable year. A business that agrees to make a contribution to Wyndcroft for two consecutive years may receive a tax credit equal to 90% of its contribution. In effect, it costs a dime to give a dollar!
- May 15
Businesses who have fulfilled their two-year commitment can reapply for a new two-year commitment.
Businesses in the middle of their two-year commitment can renew for a second year.
- July 1
All other businesses including initial applicants can submit their applications. New applicants should file on or as soon as possible after July 1 to maximize their chances of admission to the program.
- What businesses are eligible to participate?
- What is the application process?
- What happens after I apply?
Businesses authorized to do business in Pennsylvania which are subject to one or more of the following taxes may apply for EITC and/or OSTC:
- Personal Income Tax
- Capital Stock/Foreign Franchise Tax
- Corporate Net Income Tax
- Bank Shares Tax
- Title Insurance & Trust Company Shares Tax
- Insurance Premium Tax (excluding surplus lines, unauthorized, domestic/foreign marine)
- Mutual Thrift Tax
- Malt Beverage Tax
- Retaliatory Fees under section 212 of the Insurance Company Law of 1921
Good news! Individuals can now benefit from the EITC and OSTC! Pass-through entities such as S corporations, LLC's, and partnerships can elect to transfer the credit to their members/shareholders for use on their personal income tax returns in the year of contribution.
Applications for returning businesses are accepted online beginning May 15. Applications from businesses new to these programs are accepted online beginning July 1. Please note that applications are accepted on a "first come, first served" basis, and EITC in particular runs out of funds quickly, so it is important for new businesses to submit on July 1.
The application is simple, just one page. The online application and further details of the program are available online. Applications for the EITC are submitted to the Department of Commerce and Economic Development (DCED).
For additional information, please visit the PA EITC website or contact Robert Evans `65, Director of Development at (610) 326-0544, x114. We welcome your questions and hope this program can work for you and your company.
The Department of Community and Economic Development (DCED) will send an approval letter to businesses that have been awarded tax credits. Please note that the timing of these letters varies from year to year. We will be in contact with businesses which have let us know about their application when there are any updates from DCED.
From the time the approval letter has been received from DCED, the business has 60 days to send its philanthropic contribution to The Wyndcroft School.
The Wyndcroft School will issue a gift acknowledgement receipt which the business must send to the DCED within 90 days of the original approval letter. After submitting this written acknowledgement to the DCED, the business will receive the amount of tax credits outlined in the original approval letter.
For more information on PA Tax Credit Programs and other ways that your business can support The Wyndcroft School, please contact:
Robert W. Evans `65, Director of Development