September 30, 2008
Dear Providence Family:
This spring the Georgia General Assembly passed HB1133 and it was signed into law
by Governor Purdue. As we understand the law and the current interpretations, this
bill allows individual taxpayers and corporations who make a donation to a qualified
student scholarship organization (SSO) to receive a dollar-for-dollar tax credit
against their Georgia income tax liability. The SSO must use the dollars to provide
financial aid to students who attended public school last year and want to attend
a private school, but due to financial reasons cannot afford to do so.
For an individual, the tax credit will be the actual amount expended or $1,000 per
tax year, whichever is less. For a married couple filing jointly, it is the actual
amount expended or $2,500 per tax year, whichever is less. Corporations are also
allowed a tax credit for amounts contributed to a SSO up to 75% of their Georgia
income tax liability. In addition to receiving the state income tax credit, both
individual and corporate donors are entitled to take a federal income tax deduction
for their contributions. Please consult with your tax advisor on tax questions or
on any adjustments you may need to make to your current tax payments to avoid any
material overpayment of tax.
In order to use this new program to increase the amount of financial aid Providence
Christian Academy is able to offer families, we are working with the Georgia GOAL
Scholarship Program, a state-approved student scholarship organization (SSO). We
believe that taxpayers can make their donations to Georgia GOAL Scholarship and
specify Providence Christian Academy as their school of choice. In turn, Georgia
GOAL can award financial aid to students who attended a public school last year,
are accepted to Providence, and qualify for financial aid according to Providence
standards.
We believe this can be a huge boost for Georgia students, their families, and private
schools especially in a year when many families are struggling financially. If you
are willing to support Providence Christian Academy through this new bill, please
follow these simple steps:
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Complete and send the attached “Preapproval Form” to the Georgia Department of Revenue
by November 1st for the current tax year.
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Once approved, make your check payable to "Georgia GOAL Scholarship Program" and
designate Providence Christian Academy in the memo section.
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Send your check with a copy of your Department of Revenue approval form to my office
and I will send them to the Georgia GOAL Scholarship Program so that I can track
its progress.
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Complete the process as early as possible because the DOR limits the Education Expense
Credits to $50 million.
To learn all of the details about the new law, the process for pre-qualifying and
making your contributions, and the GOAL Scholarship Program, I invite you to visit
the GOAL website at www.goalscholarship.org
or contact me.
Best regards,
Priss B. DeWitt
Director of Development
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