Qualified Education Expense Credit

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Why give your tax to the state when you can give it to Al-Falah Academy?

Assign your GA Income tax dollars to Al-Falah and gain reward from Allah without having to donate your own money.

Georgia Department of Revenue, as part of Georgia Private School Tax Credit Law allows, for individuals and businesses, to allocate part of their GA income taxes towards eligible non-profit institutions such as Al-Falah Academy.

Participating in the program takes about five minutes and involves a few simple steps that are explained below. Due to increased awareness of this program, we are expecting the Georgia Private School Tax Credit funds to get used up in the first two days of 2017; we are encouraging the community to sign-up as soon as possible. Encourage your friends and businesses to participate in this and help Al-Falah Academy.

You get the reward of supporting Al-Falah Academy’s high quality Islamic education at no net cost to you. You get a dollar-for-dollar tax credit for your donation. A tax credit is not the same as a deduction. A tax credit actually applies to the taxes you have to pay and reduces them dollar-for-dollar and/or you receive a refund.

If you need any help in completing the forms, please contact Al-Falah Academy Tax Credit volunteer contact line at (678) 995-5501 or any of the following:

Sr. Ayesha-Jean Manzoor: (678) 296-5376
Br. Akram Muheb: (678) 707-3079
Br. Khaled Yacoub: (404) 388-7354
Br. Yusof Burke: (404) 542-1209

Participating in the program involves two simple steps:

  1. Complete the pre-approval form requiring very basic information. This can be done online at GASSO website or by completing and printing the form on this site and bringing it to school.
  2. Once approved, write a check in the name of GaSSO (the processing organization for this program) for the tax credit amount.

Note: To help pay for the tax dollars, you can consult your tax accountant and submit a revised G4 Georgia Withholding form adjusting the Dependent Allowances to the maximum

Contribution limits are the lesser of your state tax liability or:

Married filing a joint return: $2,500.00
Married individual filing a separate return: $1,250.00
Single individual or a head of household: $1,000.00
Corporation: 75% of the corporation’s income tax liability
LLC or other passthrought entities: $10,000

* Al-Falah Academy does not advise on any personal income tax requirements or issues. Use of any information from this site or any other web site referred to is for general information only and does not represent personal tax advice either express or implied. You are encouraged to seek professional tax advice for personal income tax questions and assistance.

Presenting the Program
Fill the form online
Download the PDF form

 

Frequently Asked Questions

What is an SSO?

The program uses a Student Scholarship Organization (SSO) to manage the process. The SSO is a charitable organization in this state that:

  • Is exempt from federal income taxation under Section 501(c)(3) of the Internal Revenue Code and allocates 90 percent of its annual revenue for scholarships or tuition grants to allow students to attend any qualified school of their parents’ choice; and
  • Provides educational scholarships or tuition grants to eligible students without limiting availability to only students of one school.
  • Must obligate 90 percent of its annual revenue for scholarships or tuition grants
  • Must maintain separate accounts for scholarship funds and operating funds
  • May transfer funds to another student scholarship organization
  • Must have an audit conducted of its accounts by an independent certified public accountant within 120 days after the completion of the student scholarship organization’s fiscal year and provide such audit to the Department of Revenue
  • Must report to the Department of Revenue, on a form provided by the Department of Revenue, by January 12 of each calendar year the following:
    • The total number and dollar value of contributions and tax credits approved
    • A list of donors, including the dollar value of each donation and the dollar value of each approved tax credit; and
    • A copy of the audit of the student scholarship organization referenced in (4), above.

To what address should the form be mailed?

The form may be brought to Al-Falah Academy or mailed to:

GASSO

P.O. Box 1752
Cumming, GA 30028

Can someone help me complete the form?

Yes, please call the school or email us at info@alfalahacademy.com and we will schedule time with you to complete the application.

What steps are involved in participating?

Participating in the program involves two simple steps:

  1. Complete the pre-approval form requiring very basic information. This can be done online at GASSO or by printing and completing the form on this site and bringing it to school.
  2. Once approved, write a check in the name of GASSO (the processing organization for this program) for the tax credit amount.

How much can I contribute as a corporate taxpayer?

A corporation is allowed a credit for qualified education expenses in an amount not to exceed the lesser of the actual amount expended or 75 percent of the corporation’s income tax liability for the tax year, of the corporation, in which the contribution will be made. Any of this lesser amount (amount expended or 75% of the corporation’s income tax liability) that is not used can be used against the succeeding five years’ tax liability.

How much can I contribute as an individual taxpayer?

The amount you can contribute depends on the amount of Georgia taxes you pay and on your filing status. An individual taxpayer is allowed a credit for qualified education expenses as follows:

  1. In the case of a single individual or a head of household, the actual amount expended or $1,000.00 per tax year, whichever is less; or
  2. In the case of a married couple filing a joint return, the actual amount expended or $2,500.00 per tax year, whichever is less; or
  3. In the case of a married couple filing a separate return, the actual amount expended or $1,250.00 per tax year, whichever is less.

For an individual taxpayer the credit is further limited and may not exceed the taxpayer’s income tax liability. The amount of the credit that exceeds the taxpayer’s income tax liability can be used against the next succeeding five years’ tax liability.

When is the best time to participate in the program?

Since there is a limited amount of funds available for this program, it is expected that the funds will be depleted in the first two days of 2017. Therefore, it is best to take advantage of it as early as possible and have the forms submitted and ready to be entered into the system before the end of 2016.

Why Al-Falah Academy?

The team at Al-Falah is committed to high-quality, cutting-edge educational innovations that set the standard for excellence in education.

Why should I participate in the program?

The GA Tax Credit Scholarship Program allows more students to attend private Islamic school—students whose families could otherwise not afford it.

This expansion leads to the growth of Islamic schools and the development of leadership in students based on timeless Islamic values.

Where does the contribution go?

Contributions are used to provide financial aid to academically qualified students at Al-Falah Academy. They allow Al-Falah Academy to:

  • offer financial aid to students who meet Al-Falah Academy’s requirements.
    allow Al-Falah Academy to reallocate money in the budget to other programs.

How is this possible?

The Georgia Education Expense Credit was approved in May 2008 through the passing of Georgia House Bill 1133. $58 million in Georgia income tax payments has been set aside each year on a first-come, first-served basis.

How does it work?

Each Georgia taxpayer has the option of sending part of their tax dollars to Al-Falah Academy rather than to the GA Department of Revenue. This can be done at no additional cost to the taxpayer, the benefits to Al-Falah Academy are many:

  • your donation is at no cost to you and receive a “dollar-for-dollar” Georgia tax credit for your donation.
    you provide an opportunity for more students to benefit from Islamic education at Al-Falah Academy.
    you increase financial aid resources at Al-Falah Academy
    you offer an additional source of operating revenue for Al-Falah Academy