How to Contribute to a State Scholarship
INCOME TAX CREDITS
Invest in Kids offers approved Illinois individual and business taxpayers income tax credits in the amount of 75 percent of their total qualified contributions made to one or more Scholarship Granting Organizations (SGOs) during a taxable year. Since IFS is located in DuPage County, our designated SGO is Empower Illinois.
You must request approval to make a contribution and receive the income tax credit prior to making your contribution. Applications for the 2020 year are still available until the end of the year.
Applications for the 2021 tax year will be available starting at 12:01 a.m., Friday, January 1, 2021 and must be requested online through MyTax Illinois
Important: You must have a registered MyTax Illinois account for filing either individual income tax or business income tax in order to apply for approval to make a contribution. If you want to apply, you are encouraged to create a MyTax Illinois account as soon as possible to avoid any processing delays when the application system goes live.
CONTRIBUTION AUTHORIZATION CERTIFICATES
Once your application has been submitted and the Department confirms that credits are available, the Department will issue you a Contribution Authorization Certificate (CAC). The CAC will be issued electronically to your MyTax Illinois account within three business days of approval of your application.
Example: A taxpayer intends to contribute $1,000 to Empower Illinois for the benefit of Region 2 (DuPage County). As long as the regional or the total statewide maximums have not been reached, the taxpayer will receive a Contribution Authorization Certificate (CAC) from the Department of Revenue authorizing his $1,000 contribution to Empower Illinois, which equates to a $750 tax credit.
Note: An individual taxpayer making a contribution to Empower Illinois may specify which school within the taxpayer’s approved region he or she wishes his or her contribution to benefit. We urge you to select Islamic Foundation School for your contribution.
CLAIMING YOUR INCOME TAX CREDIT
Approved credits may be claimed beginning with the filing of your 2019 income tax return. You cannot take a tax credit under this Act if you claimed any portion of this contribution as a federal income tax deduction.
Individuals who are married and filing a joint return are considered one taxpayer for purposes of making qualified contributions.
Example: If two married individuals each contribute $1,333,333 intending at the time of the contribution to file separate returns, but subsequently file a joint return, the maximum credit allowed is $1,000,000.
If you don’t use all of your income tax credit, you cannot receive a refund. However, any credit amount that exceeds your tax liability for the year may be carried forward and applied to your tax liability in the subsequent five taxable years. Credits carried forward do not require additional approval. Credits are applied to the earliest year for which there is a tax liability. Credits cannot be carried back to a prior tax year.
Who can I contact if I am interested in making a donation or learning more about donations?
If you have any questions, please contact Dean of Operations, Bridgett Fifer at firstname.lastname@example.org or at 630-941-8800 ext. 1084.