State Tax-Credit Program

The Commonwealth of Pennsylvania offers two tax-credit programs that make it possible for businesses to redirect their tax dollars to Penn Charter for financial aid. The application process is easy, and the benefits to the school and to deserving students are significant.

What are EITC and OSTC?

Enacted by the Pennsylvania legislature in 2001, the Educational Improvement Tax Credit (EITC) provides a tax credit to businesses that pay Pennsylvania's corporate income tax for contributions to scholarship organizations that give private-school scholarships to eligible children. 

In August 2012, Pennsylvania created a second program – the Opportunity Scholarship Tax Credit (OSTC) – to offer further support for students whose neighborhood public school is low-achieving. 

The EITC and OSTC programs enable a Pennsylvania business to direct up to $750,000 of its Pennsylvania state tax dollars directly to Penn Charter's scholarship program. Tax credits are given for 75 percent of a one-year gift and 90 percent of gifts given in two consecutive years.

Eligibility

Eligible businesses must be authorized to operate in Pennsylvania and subject to one or more of the following taxes: Corporate Net Income Tax; Capital Stock Franchise Tax, Bank and Trust Company Shares Tax; Title Insurance Companies Shares Tax; Insurance Premiums Tax; Mutual Thrift Institution Tax and Personal Income Tax of S Corporation Shareholderes, or partners in a general or limited partnership 

Benefits to Penn Charter

Penn Charter seeks to be a richly diverse school community: racially, religiously, economically, ethnically and socially. In our curriculum, we work to widen our embrace of a plurality of cultures and to celebrate the voices of both women and men. The EITC and OSTC programs offset financial aid expenses, helping Penn Charter maintain and increase its diversity.

In the 2015-16 school year, $1,086,150 was gifted to Penn Charter through the EITC and OSTC programs. This money significantly alleviated the school's financial aid budget and made it possible to fund other projects and improvements throughout the school.

Get Involved

Simply complete the online application at newpa.com. Two to three weeks later, you will hear whether you have been approved to join the program.

For more information and application assistance, please contact Jack Rogers at 215-844-3460, ext. 111 or jarogers@penncharter.com.

Turning Tax Dollars
Into PC Support 

Brad Barone, his wife, Jenny, and their daughter, Sofia, were new to Penn Charter last year. Sofia, a pre-K student, was in school for the first time. The Barones worried a bit about the transition. “It was a big adjustment,” Brad Barone said. But within that year, Sofia emerged with confidence and new friends. “We watched her grow so much during the year.”

Barone is market manager and a vice president at Susquehanna Bank. “Donating to nonprofits is a large part of our culture here at Susquehanna Bank,” he said. “Giving to youth and education and EITC helps to impact the area where we live and work. It’s what Susquehanna Bank believes in.”

EITC, Pennsylvania’s Educational Improvement Tax Credit program, enables a Pennsylvania business to direct state tax dollars to Penn Charter’s scholarship program. Participating businesses earn a 75 percent tax credit on a one-year gift and a 90 percent credit for a two- year gift.

Susquehanna Bank, which in 2013 donated more than $1 million to schools in Pennsylvania to support both scholarships as well as innovative educational programs in public schools, had never before made an EITC gift to Penn Charter. Barone contacted PC’s development office to see if the school was an eligible entity. And it is.

Said Barone: “I think [Penn Charter does] a wonderful job, especially the pre-K.” And EITC has a pre-K scholarship program that allows a 100 percent tax credit of the first $10,000 contributed.

Barone was sold on the idea. “Because of how we were welcomed to the school by everyone from administration to the rest of the families, and the way Penn Charter made us feel, it encouraged me to help steer funds toward PC.”

Penn Charter

A Friends School for Girls and Boys, Pre-K to 12

3000 West School House Lane Philadelphia, PA 19144 215.844.3460
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