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Tax Credits

EITC information for businesses

Pennsylvania's Educational Tax Credit Programs offer businesses the opportunity to contribute to a Scholarship Organization, an Educational Improvement Organization, Pre-Kindergarten Scholarship Organization and/or Opportunity Scholarship Organization. Tax credits may be applied against the tax liability of a business for the tax year in which the contribution was made.

Students at Ss. Cosmas and Damian School with a CSX representative in front of a 'We know we can because of you' display

75%

One-year commitment

Tax credits equal to 75 percent of the contribution, up to a maximum of $750,000 per taxable year.

90%

Two-year commitment

Increased to 90 percent of the contribution if the business agrees to provide the same amount for two consecutive tax years.

100%

Pre-Kindergarten

100 percent of the first $10,000 contributed to Pre-K Scholarship Organizations, and up to 90 percent of the remainder, up to $200,000 annually.

Application dates

How and when to apply

Pennsylvania businesses apply for the educational tax credit programs through the Pennsylvania Department of Community and Economic Development (DCED) electronic single application system.

May 15

Business applicants who have fulfilled their 2-year commitment and wish to renew their 2-year commitment.

May 15

Businesses who are in the middle of their 2-year commitment.

July 1

All other businesses including initial applicants and those wishing to submit an additional application on top of their previously submitted 2-year commitment.

Eligibility

Who can participate?

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