Tax Credits For Contribution To Student Scholarship Organizations

Program Information

  • STC
  • Program Type: Scholarship Tax Credit Program, Universal, Corporate, Individual

Student Participation

  • Montana residents between the ages of 5 and 18
  • Be accredited, have applied for accreditation, or be provisionally accredited by a state, regional, or national accreditation organization, or be a non-accredited provider or tutor that has informed the child’s parents in writing that the provider is not accredited and is not seeking accreditation
  • Administer a nationally recognized standardized assessment test or criterion-referenced test and make the results available to the child’s parents
  • Administer a nationally recognized standardized assessment for all 8th and 11th grade students, and provide the overall scores on a publicly accessible website or provide the composite results of the test to the office of public instruction for posting on its website
  • Satisfy the health and safety requirements prescribed by law for private schools in Montana
  • Use at least 90% of contributions for scholarships
  • Cannot restrict or reserve scholarships for use at a particular school/education provider
  • Pay out contributions in the form of scholarships within three years a†er receiving them
  • Have an annual analysis done by an independent certified public accountant that includes:
    • Total number and dollar value of individual and corporate contributions
    • Total number and dollar value of scholarships obligated to eligible students
    • Total number and dollar value of scholarships awarded to eligible students
  • Maintain separate accounts for scholarship funds and operating funds

Data Update

Schools Participating
8
SSOs Operating
1
2017 Donations
$29,950

Financial

Scholarship Cap
- 50 percent of per-pupil average of total public school expenditures
- An SSO’s average scholarship amount for all distributed scholarships for an academic year cannot exceed 30% of the per-pupil average
Tax Credit Value
- 100 percent
Donor Tax Credit Cap
- $150
Statewide Cap
- $3 million
- Cap is allowed to increase by 10 percent in any year after 100 percent of the cap is reached via preapproval of donations by the Department of Revenue