Louisiana Tuition Donation Rebate program
The TDR program benefits taxpayers because they receive a rebate for the portion of their donation that a School Tuition Organization uses to fund student scholarships at the end of each school year.
Rebates do not include the portion of each donation spent on administrative costs. Up to 5% of donations for student scholarships may be used for administrative costs.
Donors may choose to designate 100% of their donation for administrative costs instead of student scholarships; however, this donation will not be eligible for a rebate.
The donor does not have to be a resident of Louisiana. However, they will need to file a LA income tax return to qualify for the rebate, which may be a $0 income return if they do not owe LA income taxes.
This is a rebate, not a tax credit and is not claimed on a tax return. The rebate is claimed on a separate claim form and is issued in the form of a check.
For more information, please see the link below.
Donors with specific questions regarding how their donation and potential rebate impacts their tax liability should consult a tax lawyer or advisor, as each donor’s circumstances may vary.