Support NFS
EITC and OSTC Programs
Pennsylvania’s Educational Improvement and Opportunity Scholarship Tax Credit Programs (EITC and OSTC) Programs
The Pennsylvania Educational Improvement Tax Credit and the Opportunity Scholarship Tax Credit Programs enable individuals and businesses to support need-based tuition assistance at Newtown Friends School and also earn tax credits for your contribution.
Contributions made through the Educational Improvement Tax Credit (EITC) provide financial aid to students living in low-income households who attend an eligible scholarship organization, like Newtown Friends School.
Contributions made through the Opportunity Scholarship Tax Credit (OSTC) program support NFS students from low-income households who live in neighborhoods with low-achieving public schools (bottom 15% in Pennsylvania.)
When an approved individual or business agrees to participate in the program for two consecutive tax years, they may be eligible for a tax credit equal to 90% of the total contribution.
Contributions made through the Educational Improvement Tax Credit (EITC) provide financial aid to students living in low-income households who attend an eligible scholarship organization, like Newtown Friends School.
Contributions made through the Opportunity Scholarship Tax Credit (OSTC) program support NFS students from low-income households who live in neighborhoods with low-achieving public schools (bottom 15% in Pennsylvania.)
When an approved individual or business agrees to participate in the program for two consecutive tax years, they may be eligible for a tax credit equal to 90% of the total contribution.
How Do I Participate?
Individuals
Qualified individuals can participate through The Friends Collaborative, a Special Purpose Entity (SPE) LLC formed in 2016 to secure tax credits offered through Pennsylvania’s EITC and OSTC tax credit programs. Newtown Friends School is one of 19 member schools in The Collaborative. The EITC and OSTC programs were previously only open to corporate donors, but with the formation of organizations like The Collaborative, qualified individuals now have the opportunity to receive tax credits while supporting Newtown Friends School.
Qualified individuals will be asked to sign a joinder committing to participation and agree to make a set contribution to The Collaborative roughly equal to your anticipated state annual income taxes plus 10%, for two consecutive years. You will receive a tax credit each year for 90% of the amount of your contribution (which is roughly the amount of your anticipated taxes.) The Collaborative makes a gift of your funds to the Friends Council on Education, which distributes them to Newtown Friends School, and sends you a tax form allocating the state income tax credits to you.
How do I qualify?
You may qualify if you meet the following criteria:
PA Tax Liability: You have at least $3,000 in PA tax liability annually.
Qualified individuals will be asked to sign a joinder committing to participation and agree to make a set contribution to The Collaborative roughly equal to your anticipated state annual income taxes plus 10%, for two consecutive years. You will receive a tax credit each year for 90% of the amount of your contribution (which is roughly the amount of your anticipated taxes.) The Collaborative makes a gift of your funds to the Friends Council on Education, which distributes them to Newtown Friends School, and sends you a tax form allocating the state income tax credits to you.
How do I qualify?
You may qualify if you meet the following criteria:
- Annual Income or Net Worth: One individual or spouse has an annual personal income of at least $200K, or the combined income of both spouses is at least $300K.
- Alternately, you have a net worth greater than $1M, exclusive of the value of your primary residence.
PA Tax Liability: You have at least $3,000 in PA tax liability annually.
Turn your PA state taxes into scholarships for NFS students!
To explore your family's possible scholarship gift through tax credits, try our new Tax Credit Calculator.
Businesses
Tax credits are available on a first-come, first-served basis from the state. To apply, businesses should complete Pennsylvania’s online single-page application, available on July 1. Once applications are approved, contributions must be made within 60 days of receipt of state approval. Businesses make their donation to Newtown Friends School and receive a tax credit from the state.
Renewal applications for donors who made a two-year commitment are accepted beginning on May 15.
Renewal applications for donors who made a two-year commitment are accepted beginning on May 15.
Who is Eligible?
Businesses authorized to do business in Pennsylvania who are subject to one or more of
the following taxes:
- Corporate Net Income Tax
- Capital Stock Franchise Tax
- Bank and Trust Company Shares Tax
- Personal Income Tax of S corporation shareholders or Partnership partners
- Insurance Premiums Tax
- Mutual Thrift Institution Tax
- Title Insurance Company Shares Tax
Please contact Diane Zimmaro,
Director of Advancement, at dzimmaro@newtownfriends.org to discuss your participation in an upcoming round of funding. Thank you for your interest in supporting Quaker education and Newtown Friends School.
Director of Advancement, at dzimmaro@newtownfriends.org to discuss your participation in an upcoming round of funding. Thank you for your interest in supporting Quaker education and Newtown Friends School.
Newtown Friends School
Located In Newtown, Pennsylvania, Newtown Friends School is a Private School For Grades Pre-K-8th Grade.
