Georgia’s Tax Credit Scholarship Program has matured. Now in its fourth year, the program, which allows persons and corporations to reduce their tax bills dollar-for-dollar for donations to private-school scholarships, now costs the state $50,000,000 in lost revenues.
The Department of Revenue announced that it had hit the statutory cap last week, according to an article in the Atlanta Journal-Constitution. This freezes out a large number of people who had planned to make end-of-the-year donations—unless they want to give for the sake of giving and simply take a deduction, of course.
For background on the program, see my previous post in the Georgia Colleges blog.
Contributions made under the program have risen steadily since the program began in 2008. That year, private scholarship funds received $6.2 million. In 2009, the amount was $25.4 million, and in 2010, $41 million. Starting next year, the cap will be allowed to rise at the rate of inflation.
Expect to see a push in the next session of the General Assembly to increase it even more.