Donor F.A.Q. continued
Q: Who receives the scholarships?
Indiana K-12 students who meet the income eligibility guidelines and attend a participating school. Scholarship amounts range from a minimum of $500 up to full tuition, with the average scholarship amount around $2000.
Q: What happens if I forgot to claim my credit?
If you forgot to claim your tax credit scholarship credit for the taxable year you can either file an amended state tax return or just include it in your return the following year (the credit carries forward for up to nine years). Simply complete form IN-OCC 55629 as normal using the tax credit certification from your donor receipt letter.
Q: What happens if the annual tax credit allocation is depleted before the end of June?
The state has set aside a limited amount of money for tax credits each fiscal year ($14 million for the year ending 6/30/2019). If that amount is depleted, tax credits for new donations will not be available until the following July 1st. If that happens, Scholarships for Education Choice could either return your donation or, if you preferred, process it without the tax credit. Donations processed without the state tax credit would still be considered charitable contributions for federal tax purposes. If your donation is returned, it could be resubmitted for a tax credit on July 1.
Q: How do I make sure that my year-end donation counts in the right tax year?
In order to comply with IRS requirements, we need to make sure that your donation occurs in the tax year for which you would like to claim it. The easiest way to make a last minute donation is to give on-line via your checking account, credit or debit card. If you mail your donation (either directly to us or to the school), consider taking it to the post office during business hours by the last day of the year. Caution: if you drop it in a mail collection box on the last day of the year, it may not be processed (postmarked) until the first business day of the following year. If you are dropping your donation off at a school or at our offices, please do that during business hours when there is a staff person available to accept the donation.