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What is Exceptional SC?
The Exceptional SC scholarship fund (a 501(c)(3), also known as the Educational Credit for Exceptional Needs Children or ECENC) was created by the South Carolina Legislature. The fund is made up of tax-deductible donations that serve as scholarships for tuition for exceptional needs students in South Carolina to attend an approved independent school that best serves their needs.
Applications and eligibility information are available at ExceptionalSC.org. The Exceptional SC board reviews applications and awards scholarships based on a number of criteria. Students who are awarded the scholarship must attend a school that the Education Oversight Committee has approved for program participation.
Exceptional SC begins accepting donations on July 2, 2018 at noon.
Available Tax Credits for Donors: $12,000,000.00
Anyone can donate to the Exceptional SC 501(c)(3) scholarship fund, which provides scholarships to exceptional needs students. Individuals and corporations who pay South Carolina taxes can make a donation to Exceptional SC and claim a dollar for dollar tax credit against their overall South Carolina income tax liability (personal corporate income tax). Donors can deduct contributions made to Exceptional SC on their federal income taxes under IRC Section 170.
A taxpayer may not claim more than sixty percent of his total South Carolina tax liability for the year the contribution was made. If a taxpayer deducts the amount of the contribution on his federal return and claims the nonrefundable credit, then he must add back the amount of the deduction for South Carolina income tax purposes.
- Eligible to claim a dollar for dollar credit on state income tax liability;
- Not allowed to designate a specific student or school as beneficiary;
- Limited by a first come, first served annual statewide cap of $12 million.
Please visit ExceptionalSC.org/donate for more information and to make a donation. §12-6-3790 provides that South Carolina tax credits for donations to Exceptional SC may not exceed $12 million for 2018.
Please check with your CPA or tax preparer if you have additional questions.