EITC Scholarships

Pennsylvania Tax Credit Program

“Earn Tax Credits and Support LCA’s Mission at the Same Time!”

The Educational Improvement Tax Credit (EITC) gives individuals and businesses the opportunity to earn tax credits when they contribute to scholarships for Lehigh Christian Academy through The Children’s Tuition Fund.  The state of Pennsylvania will grant a tax credit up to 90% of the donated amount up to 3.07% of the gross income.  This remarkable program will send your taxes to scholarships for students to attend LCA instead of to Harrisburg.

Just follow these simple steps:

  1. Determine eligibility for participating. Most individuals are eligible for the program. Consider talking with your tax professional or contact Head of School, David Miller, to discuss your eligibility. Common eligibility items for consideration:
    • The minimum allowable EITC donation to The Children’s Tuition Fund is $1,000.
    • The maximum allowable donation is $750,000.
    • You must work for a for-profit organization in Pennsylvania, have a spouse who works for a for-profit organization in Pennsylvania, or be a Pennsylvania business owner. Business ownership can be obtained by owning shares of stock in a Pennsylvania business such as PPL.
    • Note: Many tax software programs, such as TurboTax, are not equipped to report EITC giving through a Special Purpose Entity (SPE) unless manual entry is used.
  1. Complete the online Joinder Form and send it to The Children’s Tuition Fund.
    • Click here for the online joinder form for individuals.
    • Click here for the online joinder form for businesses.
  1. The Children’s Tuition Fund will add you as a member of a Special Purpose Entity (SPE).
  1. The Children’s Tuition Fund will send you an ACH link to make your donation to your SPE. The SPE will distribute your donation to scholarships at Lehigh Christian Academy. The donation is typically completed around October.
  1. You will receive a K-1 form indicating your donated amount. You will receive a dollar-for-dollar tax credit of up to 90% of your donation. You may still claim the remaining 10% of your donation as a charitable contribution on your federal tax return.

Example of EITC Giving:

  • Family Gross Income $100,000
  • EITC Donation $3,070
  • EITC Tax Credit $2,763
  • The remaining $307 may be claimed as a charitable donation on your federal taxes.