Scholarships for Kids uses a portion of your tax liability to provide tuition assistance to students who demonstrate a financial need. You’re not just giving a scholarship, you're getting a tax credit. By redirecting a portion of your tax liability to Scholarships for Kids, you reduce the total amount of your tax bill by 50%.You have an opportunity to give a child access to an education they could not otherwise receive at no cost to you. So the question isn’t “why,” but rather, “why not?”
Individuals who contribute to Scholarships for Kids can also redirect up to 50% of their Alabama state tax liability. The annual maximum tax credit available on an individual tax return is $50,000.
Corporate contributors can redirect up to 50% of their TOTAL tax liability. There is no maximum limit for the tax credit.
Tax Credit Instructions (How It Works - Step By Step)
New for owners of pass-through entities: ALABAMA BUSINESS OWNERS.
See our 2020 Annual Report.
The Alabama Accountability Act currently establishes an annual $30 million statewide limit on the tax credits. The credits will be awarded on a first-come, first-served basis, and may be carried forward for 3 years.
To register your tax credit contribution:
1. Go to myalabamataxes.alabama.gov.
2. Click on "Report a Donation to an SGO".
3. Choose SCHOLARSHIPS FOR KIDS. Enter your donation amount.
4. Mail your check:
SCHOLARSHIPS FOR KIDS
P.O. BOX 10204
BIRMINGHAM, AL 35202
You will receive confirmation of donation from the Alabama Department of Revenue.
For more information about Scholarships for Kids, contact Stephen Bridgers at 205-246-5613.