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PA Department of Community and Economic Development

OVERVIEW

The program provides tax credits to eligible businesses contributing to an Opportunity Scholarship Organization. Business contributions are then used by Opportunity Scholarship Organizations to provide tuition assistance in the form of scholarships to eligible students residing within the boundaries of a low-achieving school to attend another public school outside of their district or nonpublic school.

USES

Tax credits may be applied against the tax liability of a business for the tax year in which the contribution was made. The tax credits awarded to businesses will be equal to 75 percent of their contribution amount, which can be increased to 90 percent upon the business committing for two years. The total may not exceed $750,000 per taxable year.  The business selects the Opportunity Scholarship Organizations to provide the tuition assistance: 

PLEASE DESIGNATE THE IVINS OUTREACH CENTER TO BE THE OPPORTUNITY SCHOLARSHIP ORGANIZATION

ELIGIBILITY

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.

HOW TO APPLY

Pennsylvania businesses can begin applying for Opportunity Scholarship Tax Credits through DCED’s electronic single application system. DCED will no longer require applicants to mail the signed signature page.

FOR MORE INFORMATION ASK YOUR ACCOUNTANT OR ACCESS DCED WEBSITE: