Mountain Laurel Academy wants to raise awareness about “sounds too good to be true” GaSSO program
Did you know that individuals and businesses can redirect their state tax liability to support a private school of their choice, and also get a tax credit for that donation?
Leaders of Mountain Laurel Academy in Pickens County want more people to know about this program, which they say “sounds too good to be true,” but is anything but.
Through the Georgia Student Scholarship Organization (GaSSO), individuals and businesses receive a 100 percent state tax credit – not a deduction – for contributions, and their money supports local schools.
Jeff Hites and Meg Norris, co-founders of Mountain Laurel Academy on Cove Road, think that if more people knew about the program and better understood it, there would be more local participation. They especially want businesses to know about the opportunity to get a tax credit and a non-profit write-off.
“Business owners’ eyes go wide when they hear about it,” said Mountain Laurel’s Scholarship Director Tom Marigliano. “They’re just not aware of it.”
GaSSO a “lifesaver” for small public schools with heart for students
Mountain Laurel Academy was founded 10 years ago, in response to Wildwood Christian Academy near Big Canoe shuttering its doors. Hites and Norris, who were teachers at Wildwood, wanted to have options for non-traditional students who don’t thrive in larger environments.
“We said, these kids can not go back into public,” Norris said. “They won’t survive….We take kids who probably won’t fit in at public school.”
In 30 days, the two had their school open with eight students.
Mountain Laurel now has 30 students enrolled for the upcoming year, which is its maximum capacity, but they strive to keep costs low and give scholarships to families who can’t afford tuition. GaSSO and private donations are critical tools for funding their needs.
“GaSSO makes it possible for us to continue,” Hites said. “They have been a lifesaver.”
Some schools have raised so much through GaSSO that they have been able to fund large capital projects like new buildings and gymnasiums, but at Mountain Laurel Academy, their GaSSO funding goes to scholarships and general support. They have kept tuition “as low as humanly possible” over the years, but said over 50 percent of their students are on scholarships.
“We never want to have to turn a kid away because of money,” Norris said.
Despite their size, Mountain Laurel has students who go on to top schools like Yale, the University of Alabama, Auburn, and others. They focus on classical education and college prep and go on unique field trips every Friday. Their students can even qualify for the HOPE Scholarship.
“We’re that option for kids who maybe aren’t functioning well in a larger class environment,” Hites said. “We love teaching and seeing kids succeed, and love what we do.”
More about GaSSO, how to participate
In 2008, the Georgia General Assembly passed the Qualified Education Expense (QEE) Tax Credit bill (HB 1133). The law provides for the creation of student scholarship organizations (SSOs) where Georgia individual and corporate taxpayers can donate in exchange for a state income tax credit.
Mountain Laurel leaders say it’s a simple program. Still, they have struggled explaining it, and lose people who think it sounds too good to be true, partly because for every dollar individuals and businesses pledge, they receive a tax credit. A tax credit reduces the amount of taxes they owe dollar for dollar, unlike a tax deduction.
Norris said businesses get even more tax benefits.
“The beauty of it for businesses is that it’s considered a non-profit donation, so you can also write it off on your federal,” she said. “You’re looking at a return of 112 percent of your initial investment. GaSSO is also a non-profit, so by writing your tax check to GaSSO in exchange for the credit…the businesses can write it off.”
Over 130 private schools have been funded through the program. If you want to participate, the pledging period is open now through the end of the year.
These are contribution level maximums:
Individual Filers- $2,500
Married Filing Jointly- $5,000
S-Corps & LLCs – $25,000
•Donation pledges are accepted June through December.
•The pledge is submitted to the Georgia Department of Revenue for approval.
•Once approved, the donor has 60 days to fund their donation and direct it to the school of their choice.
The cap on these tax credits is $120 million each year, which means the state will not fund more than that amount for the program each year. The program has grown in popularity over the years, with pledges exceeding the $120 million cap. When that happens, schools would receive a percentage of pledges made to them.
“An easy way to think about it is keeping your tax dollars local,” Marigliano said. “The message we’re trying to get out to people is that instead of their tax liability just given to state government levels this is a way where they can directly impact their community.”
Visit www.georgiasso.com to learn more about the process and to make your pledge.
