HOW YOU CAN GIVE A PORTION OF YOUR OHIO TAXES TO STUDENT SCHOLARSHIPS

A new provision allows Ohio taxpayers to redirect a portion of their taxes to student scholarships.

In July 2021, the Ohio legislature made a provision that gives taxpayers a cost-free way to contribute significantly to the students at Worthington Christian School. Thanks to Ohio’s new state tax credit, individuals who contribute to the Ohio Christian Education Network’s (OCEN) Scholarship Granting Organization (SGO) can receive a dollar-for-dollar state tax credit for up to $750. Furthermore, you may designate your contribution for WC students only.

Background

The Ohio Christian Education Network’s Scholarship Granting Organization is a 501(c)(3) entity certified by the Ohio Attorney General that serves OCEN’s member schools like WC. Ohio law permits each taxpayer to claim a state tax credit of up to $750 per individual or $1,500 per married couple filing a joint tax return. All funds designated for a school, less the nine percent administrative fee, will go directly toward student scholarships at that school. In collaboration with OCEN SGO, WC will award scholarships toward reducing a family’s tuition. The scholarship amount will vary depending on the total gifts received and the number of families that apply. The OCEN SGO is an additional source of financial aid for families. It does not replace WC’s existing financial aid programs funded, in part, with charitable gifts, including the Adopt-A-Student program.

How it Works

1. Visit the SGO website to contribute. Be sure to select Worthington Christian School in the drop-down menu so that your contribution is designated for scholarships at WC. OCEN will provide you with a receipt.
2. For contributions up to $750, you will receive a dollar-for-dollar state tax credit to use during the current tax year. In other words, assuming you have an equivalent Ohio tax liability, you will receive 100 percent of your contribution back when you file your taxes for the year. The students at WC benefit from your contribution at no cost to you.
3. Married couples can receive up to two separate $750 deductions, totaling $1,500. To receive the maximum credit, spouses must make two separate $750 contributions, one in each of their names. A single $1,500 will only return a single $750 tax credit.
4. All contributions received in 2022 are eligible for credit on your 2022 state taxes and will be applied toward 2023-24 student scholarships.
5. Contributions are accepted year-round and may be set up to recur weekly, biweekly, monthly, quarterly, or yearly.

We encourage you to speak with your tax professional to learn if contributing to the OCEN SGO suits you and your family. Answers to frequently asked questions can be found by visiting the OCEN SGO website.