Instead of paying your company taxes to the state of Pennsylvania, your monies could be designated to help families in poverty send their children to the Pre-K and Kindergarten of their choice.
This option provides the greatest benefit to your business. 100% tax credit for the first $10,000 your business donates to provide scholarships for children in our pre-K programs (90% credit for every dollar beyond $10,000 up to $150,000).
75% tax credit for up to $750,000 donation to provide scholarships for children in our kindergarten class (if you make a 2-year commitment, the credit goes up to 90%). These donations also help provide scholarships for Wonder Academy (Formerly called Wonder Club) alumni to attend other Christian private schools. Wonder Academy is a ministry of Water Street Mission (Our official EITC identify is “Water Street Ministries”).
1. Submit Your Application Online to the DCED beginning July 1
(Applicants for 2nd-year commitments or having just completed year 2 may apply beginning May 17th. To receive preferred status – ahead of new applicants – please submit the application by June 30.) All applications are processed on a first-come-first-served basis until available tax credits are exhausted.
Applications are submitted online through the “single application for assistance.”
Ask your financial advisor or accountant, or visit the Central PA Scholarship Fund, to learn about Special Purpose Entities (SPE) which allow you individually to receive Pennsylvania EITC tax credits up to your individual joint liability.
Your investment funds pass through the SPE to Central Pennsylvania Scholarship Fund, for example, where they all go out to the school of your choice (Wonder Academy is Water Street Mission’s school) in a scholarship under the EITC rules. 100% of your funds are issued as scholarships to Wonder Academy.
You can preorder tax credits at any time and your investment is not due until the SPE award letter arrives. Investment must be made within 60 days of the award letter date so the SPE can claim the tax credits for you.
The tax credits are passed through to you on an individual federal and Pennsylvania K-1 tax form each February to go with your individual PA 40 tax form and claim your Pennsylvania tax refund. The federal K-1 form lists your federal donation deduction for your individual tax return.
Download the application PDF below to see the details – and get started online registering your company.
Sandy Gambone
Business Ambassador
(717) 358-2032
sgambone@wsm.org
