IL Tax Credit Scholarships

List of 8 items.

• What are tax credit scholarships?

  Tax credit scholarships are awarded by Scholarship Granting Organizations (SGOs) to eligible students from low-income families. Contributors will use money already owed to the state (taxes) and contribute it to a needs-based scholarship. Donors receive a 75% state tax credit. For example, if they contribute $1,000 to this program, they will receive a $750 credit on their IL income tax.  Contributors are essentially also making a donation (for which they receive no tax benefit) when you consider that 25% of their contribution does not receive a credit. 

• How much money can a student receive through this scholarship?

  Depending on the household income, the scholarships cover 50%, 75% or 100% of a student’s tuition and eligible fees. They are awarded on a first-come, first-serve basis and applicants who have received a scholarship in the past will take precedence in the following years should they choose to re-apply.  Applicants MUST REAPPLY EVERY YEAR if they wish to continue in the scholarship program. 

   

• Should I apply to more than one SGO?

  You can apply to as many SGOs as desired. We recommend you apply with Children’s Tuition Fund and Bright Promise Fund as we plan to continue to work closely with these organizations.  We recommend our individual contributors make their donations to Children's Tuition Fund, since this is the SGO that provides most of our scholarships.  
  
  Please note that if your student receives a scholarship from more than one SGO, you will need to choose one scholarship and decline the other.

• What do I need in order to apply for a scholarship?

  You will complete an initial, brief application with the SGO.  Once the SGO determines that they have funding for you, they will recontact you and ask that you provide additional information.  This is usually through a 3rd party organization, such as FACTS. (There is also typically a small fee to register with FACTS and similar organizations.)  
  
  Items you will likely need to provide:  Proof of Illinois residency, your adjusted gross income,a copy of your most recent tax return.  They may require other documents.  Applications are handled through an online system, and will require an email address for login.  If you are applying for multiple children, a separate application will need to be completed for each child.

• What if we don't receive a scholarship?

  You are encouraged to apply for Tuition Assistance directly with SCCS and CCHS. In fact, since the tax scholarship process is lengthy, we highly recommend you apply for Tuition Assistance in addition to applying for the scholarship.
  
  Apply for Tuition Assistance as early as possible. For students new to our schools, the application for assistance is handled through the admissions process.  For returning students, the application for assistance is handled during re-enrollment.
  

• What is "priority status"?

  For scholarship applications received by April 1, priority is given for students that:
  

  • Received a scholarship for the prior school year,
  • Have a family income less than 185% of the federal poverty level, and/or
  • Reside in a focus district. (A focus district is a public school or district identified by the state to be operating at lower standards. The city of Chicago is considered a Focus District.)

  Scholarship applications received after April 1 are not eligible for priority status.

• When are scholarships awarded?

  Application dates vary slightly from one SGO to another but all of them typically open their application process in January.
  
  SGOs begin disbursing scholarships as funds are available, typically beginning in March. As a school, SCCS has to re-secure these contributions year after year.  The scholarships are awarded based on a combination of priority levels and first-come, first-served status. The scholarship funding goes quickly, therefore, it is important to apply as early as possible.

• Who is eligible to receive a scholarship?

  Families with limited financial resources and income up to 300% of the federal poverty level are eligible. Families who are re-applying and have received a scholarship in the previous year can make up to 400% of the federal poverty level and receive a scholarship again.  See the resources for a link to the current poverty guidelines.  
  

  • Students from households that are lower than 185% of the federal poverty level are eligible for a full tuition scholarship.
  • Students from households that are between 185 - 250% of the federal poverty level are eligible for a 75% tuition scholarship.
  • Students from households that are between 250% - 300% are eligible for a 50% tuition scholarship.