Education Improvement Scholarships Tax Credits

Program Information

  • STC
  • Program Type: Scholarship Tax Credit Program, Means Tested, Corporate, Individual

Student Participation

  • Family income cannot exceed 300 percent of the federal poverty guidelines ($75,300 for a family of four in 2018)
  • Student must have attended public school the previous year or be entering kindergarten or 1st grade
  • Eligible students with a disability must satisfy the above requirement; they must also have an Individualized Education Program (IEP), and their family’s income cannot exceed 400 percent of the federal poverty guidelines ($100,400 for a family of four in 2018)
  • Comply with state and local health and safety laws
  • Hold a valid occupancy permit
  • Comply with the Title VI of the Civil Rights Act of 1964
  • Comply with nonpublic school accreditation requirements as set forth in Code of Virginia and administered by the Virginia Council for Private Education or be a nonpublic school that maintains an assessment system that annually measures scholarship students’ progress in reading and math using a national norm-referenced achievement test
  • Annually provide the state with scholarship students’ national norm-referenced achievement test results
  • Annually provide the state with scholarship students’ graduation rates
  • Be approved by the state
  • Use at least 90 percent of contributions for scholarships
  • Make scholarships available for more than one school
  • Comply with Title VI of the Civil Rights Act of 1964
  • Conduct an annual audit, review or compilation on tax-credit-derived funds
  • Submit to the state:
    • Total number and dollar amount of contributions received
    • Dates when such contributions were received
    • Total number and dollar amount of scholarships awarded

Data Update

Scholarships Awarded
3,258
Schools Participating
176
SFs Operating
33
2016 Donations
$10,641,355

Financial

Scholarship Cap
- Whichever is less:
-- Tuition and instructional fees and materials
-- 100 percent of state per-pupil funding
Tax Credit Value
- 65 percent of donation
Donor Tax Credit Cap
- Corporate
-- 100 percent of state tax liability,
- Individual and couple
-- 100 percent of state tax liability, no less than $500 and no more than $125,000 in a taxable year
Statewide Cap
- $25 million