Corporate Social Responsibility
TFEC can help your company reach its charitable goals
TFEC can help your company develop and administer a strategic corporate giving plan that makes an impact in your community, advances your corporate objectives, and supports employees’ charitable efforts, making them feel valued and ultimately increasing job performance and morale.
Your corporation’s giving plan will be customized to enrich and streamline your philanthropic experience; and can include any of the following:
Strategic Design & Implementation
TFEC can help develop a lasting strategy that maximizes the impact of your company’s giving. Elements of your plan include: assessing current corporate giving, determining business interests/issues that are likely to affect your company and employees, your company’s community role, employees’ roles, exploring employees’ interests, and measuring your desired return on your charitable investment
TFEC can create or improve your corporate grantmaking program and could handle administration and request for proposal solicitations for you. TFEC can provide any of the following: grant program consultation, including review/analysis of nonprofit grant applications and development .facilitation of a grantmaking review process, field questions and communicate with nonprofits about your grant program and funding decisions, analyze and track funding, and evaluate grant performance and follow up.
Establish a Corporate Foundation to increase the visibility of your company’s charitable strategies in the community, as well as connect your corporation to the charitable causes you care about. This allows you to maximize the tax and budget aspects of your company’s giving and also works with you to ensure that your charitable investments provide the greatest civic and financial benefit possible.
Corporate Scholarship Fund
Through one of the fastest growing types of funds at TFEC, you can support worthy students entering or continuing their education by creating your company’s own scholarship fund. You define the eligibility requirements and establish the criteria for selecting candidates, set the number of and dollar amount of awards and TFEC handles the selection process and administration to ensure the scholarships are distributed according to IRS rules and regulations.
Corporate Hardship Fund
Corporations sometimes want to provide aid to their employees after disasters or for other hardships. TFEC can help set up and administer this grant opportunity for employees. We will customize the guidelines, assist in the application process and distribute grant checks.
Executive Donor Advised Funds
Corporations sometimes offer their executives the ability to set up their own personal donor advised fund. This personal charitable vehicle allows them to conduct their own giving through grant requests they submit whenever they would like, to any nonprofit they choose, anywhere in the world. As an incentive to encourage personal charitable giving, the corporation may elect to pay the administrative fee for a certain period of time.
Individual Employee Funds
Corporations might wish to show employees their appreciation and share the gift of philanthropy and the joy received by giving through establishing and funding a plan for each employee as a special benefit. Employees designate where they want their charitable gifts to go and can choose to add their own funds through payroll deduction. TFEC can also offer training to assist them in becoming strategic givers.
Matching Gifts Program
Corporations might wish to offer a matching gifts program to show appreciation of employees, to maximize their personal charitable giving. This committee advised fund receives grant requests on behalf of employees, completes the necessary due diligence and sends the matching grant to the requested nonprofit organization. The corporation then communicates with their employees for them to initiate their personal gift.
Opportunity Scholarship Tax Credit Program
The Opportunity Scholarship Tax Credit Program (OSTC) provides credits to eligible businesses contributing to one of the following specific programs: a Scholarship Organization, an Educational Improvement Organization, and/or a Pre-Kindergarten Scholarship Organization.
TFEC is eligible to receive funds for the Opportunity Scholarship Tax Credit Program (OSTC).
TFEC will provide tuition to eligible students who reside within the attendance boundary of a low achieving school to attend a participating nonprofit school or a participating private school located in a school district outside of the recipients school district of residence as well as special education schools. Tuition to be paid will include school related fees charged by a school. TFEC will provide tuition to students in the south central PA counties of Cumberland, Dauphin, Franklin, Lebanon, Northern York and Perry. Eligible students are ages K – 12, or age at which they graduate from a secondary school, with financial need as determined by the PA Department of Community & Economic Development (DCED) guidelines. Families apply for funds through an application process managed by TFEC staff
Tax credits may be applied against the tax liability of a business for the tax year in which the contribution was made.
Tax credits equal to 75 percent of its contribution up to a maximum of $750,000 per taxable year. Can be increased to 90 percent of the contribution, if business agrees to provide same amount for two consecutive tax years.
Businesses authorized to do business in Pennsylvania who are subject to one or more of the following taxes:
Corporate Net Income Tax
Capital Stock Franchise Tax
Bank and Trust Company Shares Tax
Title Insurance Companies Shares Tax
Insurance Premiums Tax
Mutual Thrift Institution Tax
Insurance Company Law of 1921
Personal Income Tax of S corporation shareholders or Partnership partners
An approved company must provide proof to DCED within 90 days of the notification letter that the contribution was made within 60 days of the notification letter. Tax credits not used in the tax year the contribution was made may not be carried forward or carried back and are not refundable or transferable.
How Businesses Apply
Pennsylvania businesses can begin applying for EITC credits through Pennsylvania Department of Community & Economic Development’s electronic single application system. The Business Application Guide explains the process of applying. Tax credit applications will be processed on a first-come, first-served basis by day submitted. All applications received on a specific day will be processed on a random basis before moving on to the next day’s applications. Applications will be approved until the amount of available tax credits is exhausted. Applications can be found at the PA DCED’s website www.newpa.com.
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Janice R. Black