SGO stands for "Scholarship Granting Organization" which provides scholarship awards to low and middle-income families to help them afford the school of their choice. SGOs were enacted in 2009, but were expanded as part of the 2011 Choice Bill that features a 50% state tax credit for contributions made to these SGOs. The funds donated can then be distributed to families who meet the income and other requirements. SGO scholarships are funded by charitable corporate or individual private donations, not by the state.

Yes, the Diocese has its own SGO, the Scholarship Giving Organization of Northeast Indiana (SGONEI) that services our 43 Catholic schools as well as an unrestricted fund used to meet the most pressing tuition needs in our under resourced communities.

Yes, you can restrict your donations to a specific diocesan school or the unrestricted fund for students most at need across the diocese.

You may not, however, designate to a particular student or family.

Also, you may not donate to the SGO if you have children receiving an SGO award.

By following this LINK.

It will take you to the donation page where you will input your information. There will be various options for payment, including credit card, check, or stock transfer. An email confirmation will be sent.

You can also contact your specific diocesan school or Julie Bills, SGO Development Director at (260) 369-1944 for more details.

Following this process, you will receive a Tax Credit Certification Number (TCCN) in a letter to use on your tax return.

The Unrestricted Fund pools donations with no specific school designated as the recipient allowing them to be shared where the need is greatest. Unrestricted funds are allocated, by need, to schools requesting additional help to provide SGO awards to students above and beyond the funds raised by the individual school. 

Annually, schools may request unrestricted funds through an application process to the SGO board.

The School Choice Scholarship is a portion of state funds, already allocated for a particular child to attend public school, that are utilized to off-set the cost of a non-public school's tuition and fees.  So, when a student chooses to attend a non-public school the state funds follow the student and help to pay a portion of the tuition and fees for the private school.  Family income must fall below 400% of the Federal Free and Reduced Lunch maximums.  In contrast, the SGO awards are not funded by the state, but instead by charitable donations.  Family income must fall below 400% of the Federal Free and Reduced Lunch levels for the SGO.  Once a family has received a SGO award, the family is then eligible to receive a School Choice Scholarship the following school year, if they meet the income requirements.

Donors are eligible to take advantage of a 50% credit against their state tax liability for these contributions. If a donation exceeds a donor's tax liability for the year, the credit can be used against future tax liabilities.

Unlike a tax deduction, where your charitable donation can be removed from your taxable income, a credit directly reduces your tax liability "off the bottom line.”

Individuals, corporations, partnerships, LLCs, PCs, and the self-employed are all eligible for the tax credit; in fact, any entity with a state tax liability can receive the benefit from a donation to the SGO.

There is an $18.5 million per fiscal year cap (through June 30) on available state tax credits across the state. There are no limits on the size of donations per entity or individual; you or your business could donate $5 or $5,000,000 depending on the remaining tax credits available state-wide. Tax credits are awarded on a first-come, first-serve basis.  

You can check www.in.gov/dor/4305.htm to see how many credits are currently remaining.

Yes, if you itemize, you may deduct the remaining 50% of your SGO gift from your federal taxes.

Special situations may apply, so please check with your financial advisor.

Depending on your tax bracket, a donation of $1000 to the SGO could result in:        

Donation to SGO                   $1000.00
50% state tax rebate         (-$500.00)
25% federal deduction        ($500.00 x 25% = -$125.00)
_____________________________
Net cost to you                       $375.00

**Consult your tax advisor to determine your specific tax situation.

Gifts to the SGO will ensure that more and more students in our community will receive a Catholic education! An award from the SGO during a student's Kindergarten year will most likely result in a School Choice Scholarship for the student's subsequent years of Catholic education (provided the family still meets the income requirements).

The Indiana Department of Revenue (DOR) must receive the requests (via scholarship granting organizations) by end of day December 31st of the calendar year for the credit to be eligible for that year. Any requests received by DOR after December 31st would be applied to the following tax year, even if the donation was made in the previous calendar year. The Catholic Schools’ Office (CSO) requests all donations be made by December 25 of a calendar year to ensure the tax credit number is applied for the calendar year the donation was made. Any donations made after December 25 may be applied to taxes in the upcoming calendar year.