Under the current EITC program, business and
corporations that pay corporate net income tax, franchise tax, band and trust
company shares tax, title insurance company sales tax, insurance premium tax or
mutual thrift institutions tax, can be eligible for tax credits up to 75
percent of their contribution to Baldwin’s scholarship program up to a maximum
of $300,000 annually. As the debate over the state budget continues in
Harrisburg, proposals are surfacing to
make cuts in all of the state’s tax credit programs, including the amount of
money available for EITC. The total cost of all of the state’s tax
credit programs is currently around $400 million per year. Reportedly, the proposal
is to cut somewhere between $30 and $40
million this year and double that amount for next fiscal year. It is
also reported that the EITC program could loose as much as $20 million.
Here is what you can do to help:
- Immediately contact your state local legislators by
telephone, email, or fax.
- Tell them how important EITC money is to independent school communities
across the state in general and to your school specifically.
- Urge your legislators to vote against cuts to the EITC
scholarship organizations.
A sample letter might say:
Dear State Rep. _____,
I urge you to vote against any proposed cuts in the EITC tax
credit program. The EITC program is important to independent schools throughout
the state because it encourages businesses to support financial aid for needy
students, thereby allowing more young Pennsylvanians to take advantage of an
independent school education. I believe that any cut in the EITC funds would
seriously affect the ability of many families to choose an independent school
education for their children. Pennsylvania’s EITC program is a success because
it is good for business and good for education, too.