Anyone paying at least $3,500 in Pennsylvania state taxes can reallocate 100% of these tax dollars to support financial aid for Friends Select students. Typically, a household income of approximately $114,000 annually would qualify if you pay taxes in PA.
To take advantage of this opportunity, the development office can help you claim tax credits. They run out every year so act now. Learn more here.
For more information, please email or call Angela Winterrowd, director of leadership gifts.
FAQS
| Is there an upfront cost? |
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| Yes, you must submit a check in December for a minimum of $3,500 to the Special Purpose Entity for Friends Select School: the Central Pennsylvania Scholarship Fund. After you file your taxes using the K-1 form (PA 1123) that will be provided, you will receive a credit for 90% of your contribution. |
| What are Special Purpose Entities (SPEs)? |
| Special Purpose Entities (SPEs) are used in Pennsylvania to aggregate contributions from individuals interested in the Education Improvement Tax Credit (EITC) or Opportunity Scholarship Tax Credit (OSTC) programs. While EITC and OSTC were open only to corporate donors, organizations like the Central Pennsylvania Scholarship Fund make it possible for individuals to contribute. |
| Who is this program available to? |
| This program is available to individuals and businesses alike. As long as you pay a minimum of $3,500 in PA state taxes, you can qualify. |
| Will my entire contribution directly support financial aid at Friends Select? |
| Yes, all you have to do is indicate in your joinder that you would like your contribution to go to “Friends Select School.” |
| Should I fill out the joinder in full, even if I am uncertain about the amount that I will be paying in PA state taxes? |
| Yes, by filling out the joinder, you are essentially reserving your tax credits. It is possible to adjust the amount listed on your joinder before the end of the calendar year. For assistance, email or call Mallory Burgan, director of advancement services. |
| Can I adjust the amount listed on my joinder once a new calendar year begins? |
| We hope that individuals will make a two-year commitment to support financial aid at Friends Select through contributions to the Central Pennsylvania Scholarship Fund. You will be reminded to reapply after January 1 and fill out a new joinder for the year ahead, at which point you can adjust the amount listed. |
| Is the other 10% of my contribution tax deductible? |
| Yes, the other 10% of your contribution qualifies as a federal charitable donation, if you itemize your deductions at tax time. Email or phone your tax specialist or Jeff Wilson at the Central Pennsylvania Scholarship Fund for more information. |
