Pennsylvania's Educational Improvement  Tax Credit Program (EITC)

How It Works For Your Business

Businesses apply through the state to receive up to a 75% tax credit for a 1-year commitment and up to a 90% tax credit for a 2-year donation commitment.

How Businesses Can Apply

The tax credits are available on a first-come, first-served basis starting July 1st until the tax credit dollars are used up.  These tax credit dollars are typically distributed on the first day of application (July 1st).  Businesses are encouraged to apply on July 1st.

The one-page application is now available on-line from the Pennsylvania Department of Community and Economic Development at www.newPA.com/EITC.

Is my business eligible?

Businesses authorized to do business in Pennsylvania who are subject to one or more of the following taxes can apply for EITC:

• Corporate Net Income Tax
• Capital Stock/Foreign Franchise Tax
• Bank Shares Tax
• Title Insurance & Trust Company Shares Tax
• Insurance Premium Tax
• Mutual Thrift Tax
• Malt Beverage Tax
• Retaliatory Fees under sec. 212 of the Insurance Company Law of 1921
• Personal Income Tax

Timelines

• May 15 - June 30 – Business applicants who have fulfilled their 2-year commitment and wish to reapply to renew their 2-year commitment.

• May 15 - June 30 – Businesses who are in the middle of their 2-year commitment.

• July 1 – All other businesses including initial applicants and those applicants wishing to submit an additional application on top of their previously submitted 2-year commitment.

Important Additional Information

Once a business is eligible and received their “approval letter”, the business has sixty (60) days to submit a donation to Holy Ghost Prep. 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 (Holy Ghost will mail an EITC tax letter to your company upon receipt of the gift). Tax credits not used in the tax year the contribution was made may not be carried forward or carried back and is not refundable or transferable.

HGP Contact:  

Matt Dwyer, Executive Director of Development

mdwyer@holyghostprep.org

HOW IT WORKS FOR AN INDIVIDUAL

Holy Ghost Prep currently partners with an independent charitable organization, Business Leadership Organized for Catholic Schools (BLOCS), to help individuals take advantage of this tax credit program. A person may join by contributing to a BLOCS LLC as an accredited investor and will receive an IRS form K-1 to be applied to their PA tax liability.

For more information on guidelines and how to apply, please visit https://blocs.org/personal-tax-credits/.