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  • Phone: (610)-776-7301
  • Email: 
  • Mailing Address: 1151 S. Cedar Crest Blvd.
  • Allentown, PA 18103

 

 

EITC

 

“EITC has helped thousands of students attend schools of their choice. 
This puts them and their parents in control of their education.”

– Senator Mike Folmer, former PA State Senator

 

How Your Company Can Make a Difference!

The Commonwealth’s PA Educational Tax Credit Programs (EITC programs) provide one of the best acknowledged ways for the business community to get involved in Education instead of sending its tax dollars to Harrisburg.  These tax credit programs allow your company to support Lehigh Christian Academy (LCA), a non-public and non-profit school, by supporting LCA’s scholarship (tuition assistance) efforts to assist more students to receive an excellent education at its convenient Lehigh Valley (Allentown) location.  

Remember, a tax credit is better than a tax deduction in that the credit is a direct reduction in the amount of tax owed.

Your timely help, by way of these EITC tax credit programs, may just be the pivotal help that enables a student to blossom on their educational journey – to eventually travel successfully from school to the marketplace.  Instead of not being able to attend LCA -- due to financial challenges – your company can assist by helping Pre-K to High School students continue at LCA because of your company’s participation in EITC.  It is truly a privilege to ask you to partner with us to help more students.  Please reach out to us today!

 

 

Pennsylvania's Tax Credit Programs Helping Businesses

 If your organization is looking for tax credit relief, Lehigh Christian Academy, has partnered with the Association of Christian Schools International (ACSI) and the Children Tuition Fund (CTF) -- an approved Department of Community and Economic Development (DCED) Scholarship Organization.   Such approval from the Commonwealth is reassuring.  Not only do you have peace in mind with the process, but now more than ever, giving to help families is simple.

 

Contributed funds by your business is directly used for tuition assistance when you designate Lehigh Christian Academy.

Four (4) PA Tax Credit Programs are available to you:

  1. Educational Improvement Tax Credit………………... (EITC)
  2. Pre-Kindergarten Tax Credit………………………….. (PKTC)
  3. Opportunity Scholarship Tax Credit………………….. (OSTC)
  4. Special Purpose Entity………………………………... (SPE)

 

Substantial Benefits to You! -- How to Start?

First, your company makes a contribution to the Children Tuition Fund (CTF) designating Lehigh Christian Academy as the recipient of scholarship/tuition assistance. Next, you choose one of the following programs:

1.  Educational Improvement Tax Credit (EITC):

Your business may receive a tax credit equal to 75% of its EITC contribution to the Children Tuition Fund (CTF)), up to a maximum of $750,000 per taxable year. The tax credit may be increased to 90% of the contribution made, up to a maximum of $750,000 per taxable year, if your business agrees to provide the same amount of contribution to CTF for two consecutive years.

2.  Pre-Kindergarten (Pre-K) Tax Credit:

If your business is interested in helping eligible Pre-Kindergarten students attend Lehigh Christian Academy’s Pre-K program, tax credits are also awarded, if eligible, by contributing to the DCED approved Children Tuition Fund (CTF).  In this program, your business may receive a tax credit equal to 100% of the first $10,000 contributed and up to 90% of the remaining amount contributed, up to a maximum credit of $200,000 annually.  

3.  Opportunity Scholarship Tax Credit  (OSTC)

Again, by utilizing CTF, you can also consider the OSTC program.  Students, who live within the attendance boundaries of a low-achieving school -- as determined by the Pennsylvania Department of Education -- are eligible to receive an opportunity scholarship provided they also meet the household income criteria to attend Lehigh Christian Academy.  LCA is within close proximity to several such schools.  OSTC Tax credits also equal up to 75% of a contribution up to a maximum of $750,000 per taxable year that can be increased to 90% if opting for a two (2)-year commitment.

4. Special Purpose Entity (SPE) -- Pennsylvania is now allowing a new kind of business partnership, a Special Purpose Entity or SPE, to take part in the EITC tax credit program.

In this EITC option, tax credits can offset an individual's joint, or single PA tax liability, allowing the individual to redirect their personal PA taxes to the school of their choice as tuition scholarships. Additionally, SPEs are a particularly great vehicle for end-of-the-year contributions.  Because the minimum contribution is only $1,000, it allows parents in business to more readily get involved.  Through a SPE, 90% in tax credits can also be realized!  Due to the popularity, there is a waiting list but LCA can help you begin your path through the SPE program. 

  

 

Application Steps:

    • To Apply and Learn More:  

https://dced.pa.gov/programs/educational-improvement-tax-credit-program-eitc/

  • In addition, please complete the Children’s Tuition Fund Business Commitment Form:   

Business Commitment Form


Timeline to Apply & Terms

May 15 –  Business applicants who have fulfilled their 2-year commitment and wish to reapply in the next fiscal year to renew their 2-year commitment.

May 15 –  Businesses who are in the middle of their 2-year commitment

July 1   –  All new businesses including Pre-K business applications  (Call now if you’re new to EITC!)

Dec 31  –  SPE participants must make their contribution by December 31 

An approved company must provide proof to DCED within 90 days of the notification letter that the contribution was made within 60 days of the notification letter.  Tax credits, not used in the tax year the contribution was made, may not be carried forward, or carried back and are not refundable or transferable.

 

Eligibility To Apply for EITC?

Your company is eligible to apply for EITC credits if the company pays any of the following PA 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 (exclusing surplus lines, unauthorized, domestic/foreign marine)
  • Mutual Thrift Tax
  • Malt Beverage Tax
  • Retaliatory Fees under section 212 of the Insurance Company Law of 1921

 

Still Have Questions and Need Help to Apply for Tax Credits?

In addition to clicking on the convenient direct link shown after the EITC program brief descriptions, if you like personal help applying, or have a question regarding the application process, please call our Lehigh Christian Academy 

CTF representative:

  Catherine Long, M.Ed.
  ACSI Children’s Tuition Fund
  Office: 717.285.3022 x 1 | Toll-Free: 866.401.4801 x 2
_Catherine_Long@acsi.org_

 

For initial questions, call LCA:

  Mr. John C. Moser
  Director of Development
  Lehigh Christian Academy
  610-776-7301 Ext 264. 
_jmoser@lcamustangs.org_