IL Tax Credit Scholarships
Submitted by Eck, Schafer & Punke, LLP on December 22nd, 2017Beginning Jan. 2, 2018, individuals and corporations may donate money to the IL Tax Credit Scholarship Program. The donor will receive a tax credit of 75 cents for every dollar donated, up to a maximum tax credit of $1 million. These donations can be designated to a particular school or subset of schools. However, corporations are not allowed this designation.
The state has $100 million available for donation on a first-come, first-serve basis, meaning there is $75 million in credits available.
The corporation or individual must have a mytax.illinois.gov account. This takes around 10 days to receive full access. Credits are reserved starting Jan 2 at 8am on Illinois Department of Revenue website. Once again, on a first-come, first-serve basis. The taxpayer will then receive a credit authorization certificate via email within a few days. Once the certificate is received, the taxpayer will have 60 days to make the donation. Once the donation is made, the taxpayer will receive a receipt that generates the tax credit.
This credit cannot be applied to replacement tax.
For more information please contact us.