What is the Georgia Private Schools Tax Credit?
The Georgia Private Schools Tax Credit is a program in Georgia allowing individuals and businesses paying Georgia Income Tax Liability to redirect their tax dollars to private schools (in the form of scholarships) and receive a dollar-to dollar tax credit towards their Georgia Income Tax Liability. In addition to a dollar-for-dollar Georgia state tax credit, donors will also receive a federal charitable deduction equal to their federal income tax rate making the cost of donation essentially zero.
What is CICM SSO?
CICM SSO is a 501(c)(3) non-profit organization based in Suwanee, Georgia whose mission is to assist private schools with receiving funds through the Georgia Private Schools Tax Credit to help grow their organizations and better serve their student population as well as assisting families pay for an education that they otherwise could not afford.
Each year, Christian International Counseling & Ministries (CICM) has access to 58 million dollars in tax credits to distribute to Georgia tax payers who donate a scholarship to any private Pre-K through 12 school of their choice in Georgia. Christian International Counseling & Ministries, Inc., is an approved Student Scholarship Organization listed on the Georgia Department of Education’s official website.
What Does the Process Look Like?
Before January 1st, a donor uses the form IT-QEE-TPi to apply to redirect their Georgia income tax liability to CICM SSO (and designates which school they would like the funds to be allocated to). CICM then submits form to apply on the donor's behalf with the Georgia Dept. of Revenue in early January. It is important to note that this form is not binding, it is only an application and does not equate to any pledge or obligation.
Around the end of January, the donor receives an application pre-approval letter from the GA Dept. of Revenue informing the donor whether or not the application has been accepted and how much of the applicant is able to redirect to the school of their choice. At this point, if the donor has not already contributed, they have 60 days to notify CICM SSO that they have been approved, and to contribute to CICM SSO. Contributions can be made online here, or sent in by check. Please see the Tax Credit Information page for more information. Note that this is a dollar-to-dollar state tax credit as well as a federal charitable donation.
- $58 million maximum allocated each calendar year for the entire program.
- Credits allocated on a first-come-first-served basis.
- Excess credits can be carried forward for up to 5 years.
- All donations must be made to the SSO within 60 days of pre-approval.
- Taxpayer must add back to Georgia taxable income that part of any federal charitable contribution deduction taken on a federal return for which a Georgia Qualified Education Expense Credit is allowed. **
- Electronic filing is available for taxpayers claiming this credit. Individual taxpayers that electronically file their tax return do not have to submit Form IT-QEE-SSO1. Form IT-QEE-SSO1 shall be maintained by the taxpayer and made available upon request by the Commissioner.