If you own or work for a business authorized to do business in Pennsylvania and the business is subject to one or more of the following taxes:

• Corporate Net Income Tax;
• Capital Stock Franchise Tax, Bank and Trust Company Shares Tax;
• Title Insurance Companies Shares Tax;
• Insurance Premiums Tax;
• Mutual Thrift Institution Tax; or

On July 1, 2011 your business can apply to have your tax credits equal to 75% of its contribution up to a maximum of $300,000 per taxable year or this can be increased to 90% of the contribution, if your business agrees to provide the same amount for two consecutive tax years.

 Where and How to Apply

Complete the one page form (see link below) and email to: 

RA-EITC@state.pa.us.

Or mail to:

   DCED Center for Business Financing

   Tax Credit Division

   4th Floor

   Commonwealth Keystone Building

   400 North Street

   Harrisburg, PA 17120

Applications are approved on a first-come-first-served basis by date received.  Applications for 11-12 will be accepted beginning July 1, 2011 (July 8 for pass through credits meaning those business that are going into their second year of commitment).

Terms

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. 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.

Business application form:  http://www.newpa.com/find-and-apply-for-funding/funding-and-program-finder/educational-improvement-tax-credit-program-eitc

For more information, visit the REACH website: www.paschoolchoice.org

Examples:

Sample Tax Calculation for “S” Corporations Participating in the Educational Improvement Tax Credit