EITC/OSTC
Educational Improvement Tax Credit Program (EITC)
You can direct your tax dollars to educational programs, such as Center School, which provides vital support to students in need. The Pennsylvania Educational Improvement Tax Credit (EITC) program allows qualified Pennsylvania businesses and individuals to fulfill their state tax burden while supporting financial aid and scholarships at Center School.
Turn your PA taxes into opportunities for students!
Eligibility Requirements
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Donors must have Pennsylvania-sourced income, meaning they must be employed by, a shareholder of, or a partner in, or a member of (i.e., own an interest in an LLC) a business that pays taxes in Pennsylvania.
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Donors have a Pennsylvania tax liability of $5,000 or more each year.
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Donors must be current on all state and federal tax obligations.
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Donors must be prepared to make a two-year commitment of $5,000 or more per year.
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Next Steps
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Speak with your tax advisor to determine whether you are eligible to participate.
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Request a joinder agreement to specify your two-year commitment by emailing [email protected]
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Make your first contribution as outlined in the joinder agreement.
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Attach the Form K-1 (received in February) to your PA state tax return.
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If you'd like more details or assistance with the joinder, please email: Friends of Education at [email protected].
Commonly Asked Questions
How does redirecting my taxes benefit children in Pennsylvania?
By directing tax dollars to impactful organizations like Center School, donors help expand access to quality education for Pennsylvania children, empowering them for a brighter future.
Donors join our special purpose entity (SPE), Friends of Education, by signing a joinder agreement, which grants access to tax credits and allows them to be designated to an educational program. Once enrolled, donors send their contributions to Friends of Education, who ensures the contributions reach Center School.
Scholarships pave the way for students to achieve their full potential and shape their future.
The Pennsylvania Opportunity Scholarship Tax Credit (OSTC) Program allows businesses to turn their state tax dollars into life-changing scholarship opportunities for students. By donating to an approved Opportunity Scholarship Organization, participating businesses receive a 75% state tax credit (90% with a two-year commitment) while directly helping students access a public or nonpublic school that better fits their needs.
Scholarships are awarded to students who live within the attendance zone of a low-achieving public school and meet income eligibility guidelines. Funds can be used toward tuition costs at a nonpublic school. OSTC offers families a pathway to brighter educational options, and gives businesses a powerful way to invest in their community.
If you would like to discuss the EITC or OSTC programs more, please contact:
