Tax Credit Programs (EITC/OSTC/SPE)
Turn Your Pennsylvania Tax Dollars Into Tuition Assistance for YC Students
Through Pennsylvania’s Educational Improvement Tax Credit (EITC) and Opportunity Scholarship Tax Credit (OSTC) programs, as well as Special Purpose Entity (SPE) giving options, eligible businesses and individuals can direct their state tax dollars to support York Catholic students. You have to pay these taxes regardless, so why not have a say in how your taxes are allocated? The money you redirect to York Catholic is used for educational purposes, specifically tuition assistance.
Example Pennsylvania State Tax Savings Calculation
See how a donation of $10,000 to York Catholic can result in a cost of just $630 when tax credits are applied. All individual and corporate PA taxpayers are eligible to participate with an annual tax liability of $1,000 or more!
SPE Gifts
Transform your taxes into Tuition Scholarships!
A Special Purpose Entity (SPE) allows individuals and businesses to gain PA tax credits by donating tuition scholarships to schools. You are eligible if your PA tax amounts to $1,000+.
The Pennsylvania EITC/OSTC Special Purpose Entity (SPE) Program allows individuals with a PA state income tax liability in excess of $1,000 to donate to York Catholic Middle & High School and receive a PA state tax credit for 90% of their donation each year. The remaining 10% of their donation is a deductible charitable contribution for federal tax purposes. These tax credit contributions will allow York Catholic Middle & High School to provide scholarships for those students and families most in need.
Three Steps…as easy as S.P.E.!
Download a printable YC SPE Tax Credit Program guide for additional information on program qualification and application guidelines:
Here's How Easy It Is!
Here is an example based on $10,000 of state income tax liability. Households may start to participate at $1,000.
Patrick is in the 37% tax bracket and itemizes his deductions.
He donates a $10,000 tuition scholarship to York Catholic Middle & High School, a private Christian school that participates in the PA EITC/SPE program.
For his donation, Patrick receives a 90% PA tax credit, and a $370 charitable gift deduction on his federal taxes.
With the EITC/SPE tax credits, Patrick’s net out of pocket is $630.
FAQs on Special Purpose Entity (SPE)
Upon acceptance, you will be asked to make an out-of-pocket donation, up to the amount of your annual state taxes. Early the following year, you will receive a K-1statement to be used when you file your taxes in the spring. The K-1 will qualify you to receive a refund of 90% of your donation from your PA state income tax liability and a federal tax deduction for the remaining 10% of your donation.
100% of your contribution goes to York Catholic Middle & High School to be distributed as tuition assistance for students and families who qualify for financial aid. No portion of your donation is used for administrative purposes –every dollar goes directly to help those who most need your support.
On your Joinder Form, please note York Catholic Middle & High School in the space designated for “Name of School” and indicate the tax credit amount for which you are applying in the place designated “Amount $.”
Yes. Each year you are contacted and asked to reinvest. If you choose not to continue in the program, simply do not complete the form, and the tax credits will be available to another donor applicant.
To access additional information and resources on the SPE program:
- Click here to review information on the SPE program to determine if you qualify.
- Complete and submit the Joinder Agreement.
If you’re interested in learning more about the SPE program reach out to Laura Burkey, Advancement Director, at 717-846-8871 x1323 or send her a note at lburkey@yorkcatholic.org to start a conversation.
Tax Credit Programs
York Catholic is an approved organization able to accept gifts through both the EITC (Educational Improvement Tax Credit) and OSTC (Opportunity Scholarship Tax Credit) programs in Pennsylvania. Corporate and individual donors who make a two-year scholarship commitment to York Catholic within these programs can redirect up to 90% of their state tax liability to needed scholarship funds for students at York Catholic. Corporations and individuals with $1,000 or more of Pennsylvania tax liability are eligible to participate, and gifts provided under these vital programs are directly applied to providing tuition assistance to qualifying YC students and their families. Your tax dollars directed to York Catholic become an investment in helping more students experience a school community where they are known, cared for, and inclusively inspired to thrive in the classroom and beyond.
Tax Program Participation Fast Facts:
- Your donation to York Catholic could be magnified by over 1000%.
- An annual PA tax liability of $1,000+ qualifies you to participate.
- Corporate donors must indicate Neumann Educational Foundation/York Catholic on the one-page application.
- Full details are available from the Pennsylvania Department of Community & Economic Development.
If you are interested in supporting York Catholic through a designated EITC, OSTC, or SPE donation, get in touch by calling Laura Burkey, Advancement Director, at 717-846-8871 x1323 or click the button below to send us an email.
Thank You for Your Interest in Giving!
