Educational Improvement Tax Credit Program (EITC)

Pennsylvania tax credit for businesses to a scholarship organizations.

school girl with whiteboard slate
Scholarship Organizations
$750,000 Max Tax Credits
1-year commitment: 75%
2-year commitment: 90% each year
Opportunity Scholarship Tax Credit
$750,000 Max Tax Credits
1-year commitment: 75%
2-year commitment: 90% each year
child raising hand in class
Pre-K Scholarship Organizations
$200,000 Max Tax Credits
100% for the first $10,000
90% for the remainder of the contribution
*Full amount deductible as a charitable contribution, subject to Federal charitable contribution rules

What is an Educational Improvement Tax Credit?

It is a Pennsylvania tax credit for businesses that make a donation to a scholarship organization. Scholarship organizations will award scholarships to children across Pennsylvania to assist them in attending the schools of their choice.

How EITC Benefits Your Business

Simply put, you contribute money for educational scholarships, and the Educational Improvement Tax Credits (EITC) lower your tax liability. Some companies find that when they add in Federal tax deductions, they save the same amount on taxes that they contributed to scholarships—a zero cost contribution.

The Pennsylvania Department of Community and Economic Development (DCED) provides state tax credits to eligible businesses that contribute to qualified organizations such as the Pittsburgh Jewish Educational Improvement Foundation.

Approved businesses receive a percentage of their contribution as a tax credit.

How to Make EITC Work for You

Step 1: Determine If You Qualify

Businesses or corporations qualify if they pay any of the following taxes:

  • Corporate Net Income Tax
  • Capital Stock and Franchise Tax
  • Bank and Trust Company Shares Tax
  • Title Insurance Companies Shares Tax
  • Insurance Premiums Tax
  • Mutual Thrift Institutions Tax
  • Shareholder and Partner personal income tax (S Corps and Partnerships with pass-through tax liability)

Step 2: Apply

CONTACT the EITC team at the Jewish Federation of Greater Pittsburgh to help you through the application.

412-992-5226
eitc@jfedpgh.org

OR VISIT www.dced.pa.gov/programs/educational-improvement-tax-credit-program-eitc

Step 3: Make the Pittsburgh Jewish Educational Improvement Foundation (PJEIF) the Recipient

Once approved by the Department of Community and Economic Development (DCED), your business must contribute to a qualified organization such as the PJEIF within 60 days. You need to send proof of the contribution to DCED within 90 days of the approval. The PJEIF will send an acknowledgement letter as proof of your contribution, and you are required to send a copy of this letter to DCED.

Your EITC Contribution Changes Lives

Highest Levels of Academic Success

Your support for day schools and preschools transforms the lives of children, many of whom would not be able to afford the schools without EITC funding.

  • Day school gives children the academic tools to thrive, as well as the confidence and caring to get involved in helping the community.
  • EITC Research from the Cohen Center at Brandeis University showed that Jewish day school alumni achieve the highest levels of academic success while becoming more likely to identify with Judaism as adults.
  • An AVI CHAI Foundation study found that Jewish day school graduates account for 40% of young Jewish leaders.
  • Research from Ukeles Associates found that both the children attending Jewish early childhood programs and their parents increased their participation in Jewish life.

10,300+ Scholarships since 2001

Through EITC in 2016, businesses made a substantial impact with scholarships. Each year, about 500-600 students receive Pre-K and K-12 scholarships.

Benefits of Jewish Preschools and Day Schools

  • Support for low-income families
  • Excellent academic preparation
  • Values that emphasize helping others
  • Increased participation in Jewish life for both kids and their parents

Join Us to Make an Impact

The Jewish Federation of Greater Pittsburgh supports ten early childhood education programs and three day schools by helping local businesses apply for the tax credits and contribute through the Pittsburgh Jewish Educational Improvement Foundation.

What scholarship organizations can businesses contribute to in order to receive the credit?

Pittsburgh Jewish Educational Improvement FoundationBusinesses may contribute to qualified charitable organizations that are registered with the Department of Community and Economic Development (DCED). The Jewish Federation of Greater Pittsburgh has created an applicable organization, called the Pittsburgh Jewish Educational Improvement Foundation.

 

EITC Beneficiaries

EITC Beneficiaries

 

EITC Donors

Through this initiative, the following corporate donors have made over 550 scholarships available to students to attend Jewish day schools and pre-kindergarten programs this year

Apter Industries, Inc

Artay Inc.

Bell Clippers

Buncher Company

Concast Metal Products Co.

Dollar Bank

First Capital Corp

Glimcher Group Operating Group

Huntington Bank

Impel Strategies

JG Direct MM, Inc. (Key Bank)

M & D Properties

Mcknight Realty Partners

MSA Worldwide, LLC

PA Partners for Education LLC

PNC Financial Services Group, Inc.

Ross Development

Trumbull Corp

UPMC

Wagner Agency

Questions:

Roi Mezare
Roi Mezare
Associate Vice President, Development & Foundation
412-992-5230
Shelley Parver
Shelly Parver
Associate Director, Planning & Impact
412-992-5207
Jessie Pritchard
Jessie Pritchard
Development Associate, Corporate Giving
412-992-5223
Hayley Tanzman
Hayley Tanzman
Development Operations Associate