Virginia Education Improvement Scholarships Tax Credit Program (EISTCP)

Virginia Education Improvement Scholarships Tax Credit Program (EISTCP) Overview

Program Type: Tax credit donation program for K-12 private school scholarships

Geographic Scope: Virginia (approved scholarship foundation through Virginia Department of Education)

Key Information:

• Tax credit: 65% of donation amount
• Individual minimum: $500
• Individual/couple maximum: $125,000
• Business minimum/maximum: No limits
• TCFHR is an approved scholarship foundation authorized by Virginia Department of Education

Who Benefits

• Qualified, low-income students attending non-public PK-12 schools in Virginia
• Students must apply to their school for scholarship funds
• TCFHR does not limit scholarships to one school
• Donors may not designate funds for specific students

Eligible Schools (Current Qualified Institutions)

1. Blue Ridge Christian School - Harrisonburg
2. Bridgewater Community Christian Academy - Bridgewater
3. Charlottesville Cornerstone Christian School - Charlottesville
4. Eastern Mennonite School - Harrisonburg
5. Grace Christian School - Harrisonburg
6. Redeemer Classical School - Staunton
7. Wakefield Country Day School - Huntly
8. Keezletown (various)

Tax Credit Benefits

For Individuals:

• State tax credits against Virginia personal income tax liability
• Credits may be carried forward for up to 5 succeeding years
• Credits cannot exceed tax liability in the year claimed

For Businesses:

• Virginia Corporate Income Taxes
• Virginia Bank Franchise Tax
• Virginia Insurance Premiums License Tax
• Virginia Public Service Corporations Tax
• Personal Income Taxes via pass-through entities (S-Corps, LLCs, Partnerships)

Contact Information

• Phone: 540-432-3863
• Email: [email protected]
• Address: P.O. Box 1068, Harrisonburg, VA 22803; 317 South Main Street, Harrisonburg, VA 22801
• Website: tcfhr.org

How to Apply for Virginia Tax Credits

1. Contact TCFHR before applying
   • Call 540-432-3863 or use the contact form at tcfhr.org
   • Speak with staff to ensure compliance with state guidelines
   • Work with your financial advisor if applicable
2. Request Preauthorization Form from TCFHR
   • Staff will provide the form
   • Also available through contact on website
3. Complete Preauthorization Form
   • Fill out all required information
   • Return via mail or email to TCFHR
   • Email: [email protected]
4. TCFHR submits to Virginia Department of Education (VDOE)
   • Submission via secure electronic system
   • Processing time: typically within minutes
5. Receive Preauthorization Notice
   • VDOE sends approval notice directly to you
   • Indicates approved tax credit amount
   • Credits held for 180 days
   • IMPORTANT: Do NOT send check or transfer securities before receiving this notice
6. Send Gift to TCFHR
   • Return Preauthorization Notice with Part I filled out and signed
   • Include check or securities transfer information
   • Submit within 180 days of Notice date
   • IMPORTANT: Check must be dated after Notice date; securities transfers must be initiated after Notice date
   • Make checks payable to: The Community Foundation of Harrisonburg & Rockingham County
   • Do NOT indicate designation for specific school
   • Funds divided among eligible students at qualified schools
7. Receive Tax Credit Certificate
   • Within 20 days of receiving gift, receive acknowledgement letter
   • TCFHR obtains Tax Credit Certificate
   • Must attach certificate to tax return when claiming credits