||What is the history of the Georgia Private School Tax Credit?
In 2008, the Georgia General Assembly passed legislation setting aside $50 million annually to provide for the creation of student scholarship organizations (SSOs) that use Georgia income tax credit eligible contributions to provide public school or pre-kindergarten / kindergarten-entry students with the opportunity to attend private schools. In 2011, the General Assembly increased the amount to $51.5 million effective in 2012.
Who can participate?
Anyone (including parents, alumni, parents of alumni, grandparents and friends of Frederica Academy) who has a Georgia tax liability can make a contribution to an SSO and designate it to the school of their choice.
Can corporations contribute to the program?
Yes. “C” corporations can receive a tax credit for amounts contributed to the Apogee program up to 75% of their Georgia income tax liability. “S” corporation shareholders (or the owners of such other “pass-through entities”) are subject to the individual limitations of $2,500 or $1,000.
By donating to the Apogee scholarship program, does my gift count towards the Frederica Academy Annual Fund?
No. Although we certainly appreciate your support of this new initiative, your contribution to Apogee is a dollar-for-dollar tax credit and can only be used to help fund our need-based student financial aid program. A donation to the Annual Fund is a tax-deductible gift given directly to Frederica Academy. Annual Fund contributions help bridge the gap between tuition costs and our operating budget. Your participation in the Annual Fund is critical in terms of helping make tuition more affordable for more families. Therefore, we strongly recommend that you continue to participate in Annual Giving should you also elect to contribute to the Georgia Private School Tax Program.
When should I make a donation?
The sooner, the better. The State of Georgia allows these deductions on a “first-come, first-serve” basis. As the deduction is unlimited for a C Corporation, one school received a $1,000,000 gift from a single donor in 2009. The corporation chose to pay into this fund instead of paying its Georgia income tax liability. As more schools and more companies participate in the program, fewer dollars will be available to Frederica.
Can I electronically file (e-file) my tax return if I participate in this program?
Yes. However, taxpayers must make documentation available later if requested by the commissioner.
I am an Alternative Minimum Tax (AMT) filer. Does this program benefit me?
Yes. AMT filers may have greater benefit. Please consult your tax advisor for more information.
If I itemize deductions, can I take a charitable income tax deduction on my federal income tax return for the amount of the contribution to Apogee?
Yes. However, taxpayers must add back to their Georgia taxable income that part of any federal charitable contribution deduction taken on a federal return for which the Georgia Private School Tax Credit is allowed. Please consult your tax accountant for more information.
Can I designate that my contribution will provide a scholarship for a specific Frederica Academy student?
No. Although you may designate your contribution to Frederica Academy, you may not direct it to a particular individual. The need-based financial aid committee at Frederica directs which qualified recipients are recommended for the receipt of the Apogee scholarships.
What students are eligible under the law to receive financial assistance from the Apogee Georgia School Choice Scholarship Program?
Per the legislation, eligible students must be Georgia residents enrolled in a Georgia secondary or primary public school or pre-kindergarten and kindergarten students. Students currently enrolled at Frederica are not eligible to receive funding unless they were designated for the program prior to their enrollment.
After a recipient student’s first Apogee scholarship year, will he or she automatically receive Apogee funding each subsequent year?
Apogee scholarships are awarded for the duration of a student’s enrollment at Frederica. However, the amount of the Apogee scholarship received in each year is determined annually based on continued financial need, the student’s compliance with behavioral and academic standards and available funding. The financial assistance forms must be completed each year to validate financial need.
Will Apogee scholarships be awarded based on athletic or academic achievement?
No. Frederica will continue to offer only need-based financial aid.
Does the Apogee scholarship program affect our current financial aid program?
Yes, in a positive way. The Georgia Private School Tax Credit funds will augment the financial aid budget for new students coming to our school.
Is the Apogee Georgia School Choice Scholarship Program a government agency? What is its role?
Apogee is an independent 501(c)(3) tax-exempt organization. Apogee, not the State of Georgia, provides scholarships to students at its participating schools. It saves its participating schools the expense of creating and operating their own student scholarship organization (SSO) as mandated by law. Frederica Academy elected to partner with Apogee because of its outstanding reputation, impressive list of partner schools, highly skilled professional team and the fact that we can be served by its Atlanta and Savannah offices.