The grants were made possible through Verizon's participation in the state's Educational Improvement Tax Credit plan, which is administered by the Department of Community and Economic Development (DCED). Inaugurated in 2001, the tax credit plan amended the Public School Code, authorizing $75 million in tax credits to businesses that make contributions to scholarship organizations, educational improvement organizations or pre-K scholarship organizations.
"This program benefits everyone," said William B. Petersen, president of Verizon Pennsylvania. "It's a win for families who will be the recipients of the scholarships, and it's a win for corporations that not only get a tax break, but also gain another opportunity to invest in education that will prepare children to meet the challenges of living and working in the 21st century."
Verizon awarded grants to the following nonprofit organizations from a state-approved list:
Bridge Educational Foundation, Harrisburg - $25,000
Jump Street, Harrisburg - $25,000
Black Alliance for Educational Options, Philadelphia - $20,000
Futuro Educacional Inc., Philadelphia - $5,000
Fund for Advancement of Minorities Through Education, Pittsburgh - $12,500
The Neighborhood Academy, Pittsburgh - $12,500
Under the Educational Improvement Tax Credit plan, Pennsylvania businesses that pay any one of six taxes, including the corporate net income tax, may submit an application to the DCED to provide grants. The businesses then are eligible for tax credits ranging from 75 percent to 90 percent of a maximum contribution of $200,000 per year. The credit then is applied against a business's tax liability for the tax year in which the contribution was made. Since Verizon renewed its commitment to contribute $100,000 for two consecutive tax years, a total of $200,000, it will qualify for the 90 percent tax credit. -Verizon
