EITC and OSTC are great ways to support NativityMiguel School of Scranton.
Instead of a business paying tax dollars to the Commonwealth of Pennsylvania, the program allows the business to redirect those tax dollars to NativityMiguel School and continue the mission of educating underserved students. It almost sounds too good to be true, but it’s not, and it’s a great way to donate to our mission.
What is EITC?
The Educational Improvement Tax Credit (EITC) provides companies with a 75% tax credit for donations to a non-profit scholarship or educational improvement organization. The tax credit increases to 90% if a commitment to making the same donation for two consecutive years is made. A business paying taxes in Pennsylvania can receive up to $750,000 in tax credits annually.
What is OSTC?
OSTC is modeled after the popular EITC program. The Opportunity Scholarship Tax Credit (OSTC) program provides tuition assistance to children who live within the attendance boundaries of failing schools. Just like the EITC program, the OSTC program awards Pennsylvania businesses a tax credit of 75% if the gift is made for one year or 90% if the company commits to making the same donations for two consecutive years. OSTC funds are available in addition to any credits received under the EITC program.
EITC INFORMATION FOR BUSINESSES
Businesses authorized to do business in Pennsylvania who are subject to one or more of the following taxes:
- 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
APPLICATION PROCESS and INFORMATION
Pennsylvania EITC Program Website
Both EITC and OSTC applications are filed via the Single Application at:
For a step by step guide to the online application on How to apply, please click: application guidelines
Contact: Robert H. Angeloni, President, NativityMiguel School or Carmela Smith at 570-955-5176 or your accountant for more information.
BUSINESS APPLICATION TIMELINE
May 15 - Business applicants who have fulfilled their 2-year commitment and wish to reapply for FY19/20 to renew their 2-year commitment.
May 15 - Businesses who are in the middle of their 2-year commitment.
July 1 - All other businesses including initial applicants and those applicants wishing to submit an additional application on top of their previously submitted 2-year commitment.
Pass-through entities such as S-Corporations, Partnerships, LLCs, etc., can now apply the same day as C-Corporations. Applications must be submitted electronically using DCEDs Single Application for Assistance.