Philanthropic Investment in Arkansas Kids provides resources for families who need access to additional education options.
Do you want your state income tax dollars to directly fund K-12 students in Arkansas?
Here's your chance: The Reform Alliance (TRA) is accepting donations for the new Philanthropic Investment in Arkansas Kids program.
Who can contribute?
Individual or businesses that pay income taxes in Arkansas can claim a state tax credit for up to 100% of their annual income tax liability by donating to scholarship granting organizations, like TRA.
What does it do?
The donations will fund scholarships for K-12 students to attend qualified private schools. The scholarships gives students the chance to learn, grow and thrive in the environment that best meets their needs!
Here's how it works:
Estimate your donation
Taxpayers estimate their 2023 Arkansas state income tax liability and make a donation. Then, they complete this credit application form and send it to info@thereformalliance.org.
Don’t worry if your donation exceeds your 2023 liability: You may carry your credits forward for up to three years.
TRA notifies the DF&A
The Reform Alliance will notify the Arkansas Department of Finance and Administration.
The Reform Alliance will also issue the K-12 scholarships for income-qualified students to attend a qualified private school of choice. Students flourish in schools that meet their needs!
DF&A issues tax credit
The Arkansas Department of Finance and Administration will issue a tax credit certificate for the full amount of the contribution.
The amount available for state income tax credits is limited to $2 million per tax year, so taxpayers need to act quickly to reserve their credits.
The Department of Finance and Administration refers to the program here, or you can expand the section below.
Act 904 of 2021 provides educational scholarship grants for eligible students to attend non-public schools. Act 904 provides an income tax credit to donors equal to 100% of contributions to scholarship-granting organizations (SGO’s). The credit may not exceed an eligible taxpayer’s income tax due. Unused income tax credits may be carried forward for three years. The Office of Tax Credits/Special Refunds of the Arkansas DFA will issue tax credits on a first-come, first-served basis up to $2,000,000 per calendar year.
The Division of Elementary and Secondary Education (DESE) of the Department of Education will track grants and prepare an annual report on the program.
Any unused credit may be carried forward for 3 consecutive years.
To claim the credits authorized, attach to the tax return a copy of the Certificate of Tax Credit issued by Tax Credits/Special Refunds section of the Arkansas Department of Finance and Administration.
The email address is PIAKP.TaxCredit@dfa.arkansas.gov.
The form is located at Tax Credits/Special Refunds – Tax Credits and Special Refunds Forms.
Who is eligible for a scholarship?
IMPORTANT NOTICE: The application window will open June 15th at 9:00am.
If you would like to receive updates about the program, please click here.
PARENTS: Start the application process HERE by creating an account but applications may not be submitted until June 15th at 9:00am. Scholarships will be awarded on a first come, first serve basis.
Why should we apply?
Every child learns differently, and sometimes students need a different learning environment, like smaller classrooms, individualized instruction or teachers specialized in working with certain learning disabilities.
Arkansas has a similiar K-12 scholarship program called the Succeed Scholarship that has already been established, but it is limited to students with learning disabilities, in foster care or from military families. The Reform Alliance gathers feedback from parents of students in the program annually, and nearly all parents report that students improve academically and show growth in their social development once they find the school that meets their needs. Click here to see the results!
You can also hear stories from families who have used the Succeed Scholarship by following us on social media or watching the videos to the right.
