About Pennsylvania’s Educational Improvement Tax Credit (EITC) and Opportunity Scholarship Tax Credit (OSTC) Programs
The Pennsylvania Educational Improvement Tax Credit (EITC) and Opportunity Scholarship Tax Credit (OSTC) programs are designed to encourage businesses and individuals to donate to scholarship organizations or educational improvement organizations. By contributing through these programs, donors receive tax credits, while supporting education and providing students with more educational opportunities.
Pennsylvania EITC Program:
The EITC program offers tax credits to eligible businesses and individuals who contribute to approved Scholarship Organizations, Educational Improvement Organizations, or Pre-Kindergarten Scholarship Organizations. These organizations provide scholarships, innovative educational programs, or access to high-quality pre-kindergarten education for Pennsylvania students.
Benefits of donating through the EITC program:
- Tax Savings: Donors receive substantial tax credits, which can be up to 75% of the donated amount for a single-year commitment or up to 90% for a two-year commitment. These credits can be applied against Pennsylvania state taxes.
- Impact on Education: Donations made through the EITC program help provide scholarships to low- and middle-income families, giving children access to better educational opportunities and improving the overall quality of education in the state.
- Corporate Philanthropy: Businesses participating in the EITC program can demonstrate their commitment to their communities and enhance their corporate social responsibility.
Pennsylvania OSTC Program:
The OSTC program is similar to the EITC program but focuses on providing scholarships to eligible students residing within the attendance boundaries of underperforming public schools in Pennsylvania. These students receive financial assistance to attend participating non-public or out-of-district public schools that may offer better educational opportunities.
Benefits of donating through the OSTC program:
- Tax Savings: Similar to the EITC program, donors receive tax credits of up to 75% of the donated amount for a single-year commitment or up to 90% for a two-year commitment. These credits can be applied against Pennsylvania state taxes.
- Expanding Opportunities: Donations made through the OSTC program help students from underperforming schools access better educational options, leading to improved academic outcomes and brighter futures.
- Community Improvement: By supporting educational opportunities in underperforming areas, donors help strengthen local communities and contribute to the overall betterment of education in Pennsylvania.
The Silverback Educational Foundation for the Arts, Dance & Athletics is a Pennsylvania registered Scholarship Organization (SO), making it eligible to receive donations of this kind.
The Silverback Foundation is also a certified Educational Improvement Organization by the state of Pennsylvania through its program The SWAG Impact. The SWAG Impact is an innovative educational program for offered to select 1st and 2nd grade students participating in The SWAG soccer program. SWAG Impact is designed to enhance literacy, communication skills and early fundamentals in writing composition, history, and geography through the study of past and current famous professional soccer players of African descent from around the world.
