EITC – PA Tax Credit for Businesses

Did you know your support of FLITE can bring a 75% or 90% tax credit to your business?

Pennsylvania businesses are eligible for a tax credit—not simply a deduction—for donations made to FLITE as part of Pennsylvania’s Educational Improvement Tax Credit Program (“EITC”). FLITE is approved as an Educational Improvement Organization (“EIO”) and as a Pre-Kindergarten Scholarship Organization (“PKSO”), under the EITC program.

Businesses that contribute to an EIO receive a tax credit of 75%; if they commit to donating for two consecutive years, the tax credit is 90%. Businesses that contribute to a PKSO receive a tax credit equal to 100% of the first $10,000 contributed, and up to 90% of the remaining amount contributed.

Tax credits are applied against the business’s state tax liability for the year in which the donation is made.

Who Qualifies?

Anyone who pays:

  • Corporate Net Income Tax
  • Capitol Stock Franchise Tax
  • Bank and Trust Company Shares Tax
  • Title Insurance Companies Shares Tax
  • Insurance Premiums Tax
  • Mutual Thrift Institution Tax
  • Personal Income Tax of S Corporation Shareholders
  • Personal Income Tax of Partnership Partners

Typically, these taxes are paid by Corporations, Partnerships, LLCs, Banks, Insurance Companies, Title Companies and Mutual Thrift Companies. Companies can split their gifts among several EITC-approved nonprofits.

For More Information

For more details, as well as copies of the EIO and PKSO donor application forms, visit the Pennsylvania Department of Community and Economic Development’s EITC page, or message FLITE’s EITC Coordinator, Tom Colman via our contact us page.