 |
What is an "Educational Improvement Tax Credit?"Many of our clients who operate businesses may be asked to sign up for the "educational Improvement Tax Credit" (EITC) program. Some of our clients' whose children attend private grade schools and high schools may be the very persons who are approaching our business clients regarding the EITC.For 2002 and 2003 the Commonwealth has set aside $20 million of certain business taxes to be diverted to private primary and high schools across the state. Generally the credit is available only to businesses organized as corporations. The credit is applied against that business' corporate net income tax and/or capital stock and franchise taxes. Businesses that operate as sole proprietorships, partnerships or limited liability companies cannot participate. The corporation may direct up to 75% of its taxes owed to the state to an identified private school scholarship program. With a two (2) year commitment the credit goes to 90%. With applicable federal credits, the actual effect may be 100% of the state's corporate taxes. A business should check with its accountant to determine whether it can participate and the benefits of doing so. |
 |
|
|
Home ·
About the Firm ·
Attorney Directory ·
Practice Areas ·
News and Events ·
Contact Us · © 2006 Peacock Keller & Ecker, LLP, 70 East Beau Street, Washington, PA 15301 · Phone: (724) 222-4520 or in PA: 1-800-242-8897 · Fax: (724) 222-3318 · Terms and Conditions |
|