Understanding the SGO Tax Credit and How You Can Support Chai Tots
The Scholarship Granting Organization (SGO) Tax Credit is a powerful way to support private education while reducing your Ohio state taxes. Here's everything you need to know and how you can use this opportunity to help Chai Tots.
What is an SGO?
A Scholarship Granting Organization (SGO) is a nonprofit organization certified by the state of Ohio. These organizations collect donations to fund scholarships for students to attend private schools, including religious and independent schools.
How Does the SGO Tax Credit Work?
Make a Donation: Donate to a certified SGO. If you want to help locally, you can direct your donation specifically to Chai Tots Early Childhood.
Credit Amount:
Up to $750 per individual.
Married couples filing jointly can claim up to $1,500 (if each spouse donates $750 separately).
Receive a Tax Credit: When filing your Ohio state taxes, your donation amount is subtracted directly from the taxes you owe.
Example:
If you owe $1,000 in Ohio taxes and donate $750, your tax bill will drop to $250.
If you owe $500 and donate $750, your tax bill will drop to $0 (though you won’t receive a refund for the extra $250 because the credit is nonrefundable).
How to Donate
Go to Every Child, Every Family.
Select Chai Tots Early Childhood Center (Mason) from the list of options.
Make your donation and save the receipt to claim your tax credit when filing your Ohio taxes.
What Happens to Your Money?
When you donate to an SGO:
Your money goes toward scholarships that help students afford private school tuition.
If you choose Chai Tots Early Childhood Center, your donation directly supports children in your local community, making private education accessible for families who may not otherwise afford it.
Why Should You Donate?
Tax Benefits: Your donation provides a dollar-for-dollar reduction in your Ohio state tax liability.
Support Education: You directly enable children to access a quality education in a nurturing and personalized setting.
Impact Locally: By designating Chai Tots Early Childhood Center, your donation benefits families in your community.
What’s the Difference Between a Tax Credit and a Deduction?
A tax deduction reduces your taxable income.
A tax credit directly reduces the amount of taxes you owe.
For example, if you owe $750 in taxes and donate $750, your tax liability drops to $0.
Why Act Now?
To qualify for the credit on your upcoming tax return, you must donate before the end of the tax year.
Donations to SGOs like Chai Tots make a tangible difference for students while providing you with significant tax benefits.
Let’s Make a Difference Together
Support Chai Tots today and play a role in transforming a child’s educational journey. With your generosity, we can ensure every child in our community has access to quality education while you enjoy the benefits of the Ohio SGO Tax Credit.