News & Analysis as of

Scholarship Granting Organizations (SGOs) Tax Credits

Sullivan & Worcester

The O3BA -- Mixed Incentives for Charities and Their Donors

Sullivan & Worcester on

The One Big Beautiful Bill Act (the “O3BA”), signed into law on July 4, 2025, affects charitable donors and the organizations they support. While most relevant provisions apply for tax years beginning on or after January 1,...more

BakerHostetler

Analysis of Tax-Exempt Organization and Charitable Giving Changes Under the 2025 Tax Legislation

BakerHostetler on

The Legislation combines spending and policy priorities from 11 congressional committees and will reshape federal policy across nearly every sector of the U.S. economy. There is a possibility for one or more additional budget...more

Fisher Phillips

“One Big Beautiful” School Choice: Budget Bill Provides Key Tax Break That Could Help Your K-12 School

Fisher Phillips on

The “One Big Beautiful Bill” passed by Congress and signed into law by President Trump last month includes a new federal tax credit program for donations that could significantly expand private school scholarship options if...more

Bradley Arant Boult Cummings LLP

Final Regulations on Business Donations to Scholarship-Granting Organizations Make for Good Year-End Tax Planning (and Support a...

In August, the U.S. Treasury Department and the Internal Revenue Service issued final regulations on the deductibility of payments of cash or in-kind donations to certain tax-exempt organizations if the donor receives in...more

Bradley Arant Boult Cummings LLP

IRS Provides Additional Clarity Regarding Donations to Scholarship Granting Organizations - SALT Alert: Alabama Edition

On December 16, the Internal Revenue Service (IRS) and the Treasury Department issued proposed regulations... that provide some good news and needed clarification for C corporations, individuals, and S corporations and other...more

Bradley Arant Boult Cummings LLP

Is It December Already? Year-End Contribution Strategies for Alabama Taxpayers - SALT Alert: Alabama Edition

As 2019 comes to a close, while most people are busy making holiday plans, dutiful tax advisors and financial planners are burning the midnight oil to minimize their clients’ tax bills that will be due in a few short months....more

Bradley Arant Boult Cummings LLP

Treasury Department Issues Final Regulations Limiting Charitable Deductions – Potential Impact on Alabama Donors? - SALT Alert:...

Now that the dust has settled following the issuance of the final “SALT cap workaround” regulations by the Treasury Department, here’s a summary of those regulations, the IRS guidance issued in connection with the final...more

Bradley Arant Boult Cummings LLP

Status Report on IRS Guidance Limiting Charitable Contribution Deductions to Scholarship Granting Organizations - SALT Alert:...

Sometimes the law of unintended consequences is difficult to correct after the fact. The most recent example may be the 2017 Tax Cuts and Jobs Act’s $10,000 annual limitation on state and local tax deductions claimed by...more

Bradley Arant Boult Cummings LLP

Department of Revenue Issues Favorable Ruling for Tax Credit Scholarship Donors - State & Local Tax Alert: Alabama Edition

Since the landmark Alabama Accountability Act was enacted in 2013, allowing individual and corporate donors to provide scholarship funds for underprivileged children in our state who are zoned for underperforming public...more

Bradley Arant Boult Cummings LLP

Year-End Tax Planning and Expanded Scholarship Tax Credits

The Alabama Accountability Act of 2013 (the “Act”) provides state income tax credits to certain donors who make contributions to a state-approved scholarship granting organization (SGO) operating within Alabama. The Act was...more

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