Tax Benefits

Scholarships for Educational Choice (SEC) is a program incentivized by the State of Indiana. The state sets aside funding for tax credits for individuals and businesses that wish to support school scholarships.  Donors receive a state tax credit equal to fifty-percent (50%) of the amount donated. Because Sagamore Institute is a 501(c)(3) charitable organization, the donation is also eligible for a federal deduction. There is no limit on the amount of tax credits an individual or business can receive. Please consult with a tax professional regarding your unique circumstances because federal deductions vary.

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For example, if you are in the 35% tax bracket and you donate $10,000:

$10,000 SGO Donation
– $5,000 Indiana Tax Credit
– $1,750 Net Federal Tax Savings*

= $3,250 TRUE COST for a $10,000 Donation!

The average tax credit scholarship amount given by SEC is just under $2,000. This $10,000 donation funds five scholarships!

Donate now or read answers to frequently-asked questions.

* Net Federal tax savings assumes a $10,000 charitable gifts deduction and $5,000 less in state income taxes paid, as reported on Schedule A.