Investing in the Next Generation of Muslim Leaders

Investing in education is one of the most impactful ways to create a brighter future. And through contributions to the Faith Islamic Academy Scholarship Foundation, you can make a difference while enjoying tax benefits. Your donation unlocks triple benefits:

• Support deserving students: Your contribution helps remove financial barriers and enables them to pursue their academic dreams, fostering future leaders and innovators.
• Save on taxes: Enjoy a nonrefundable tax credit of up to $750 (or $1,500 for married couples filing jointly) on your Ohio income tax return. This translates to immediate tax savings, making your generosity even more rewarding.
• $0 cost for you: Make a difference without spending a dime! This program re-direct your tax dollars to support a worthy cause, making it essentially cost-free to you.

This is great news! If you have a tax liability with the state of Ohio and make a donation, you can receive a 100% tax credit (dollar for dollar) for your donation. This opportunity allows you to donate funds that would otherwise go to the state of Ohio.

Frequently Asked Questions

How do I donate to the Faith Islamic Academy Scholarship Foundation?

For your convenience, we offer two donation options: donate online or make a check payable to the FIA Scholarship Foundation and mail it to: 152 E Steels Corners Rd, Cuyahoga Falls, OH 44224-4920.

Please note, to receive the tax credit, the donation must be made to the Faith Islamic Academy Scholarship Foundation. Any other donations made directly to the school are not eligible for this credit.

What is the Ohio SGO tax credit?

The Ohio SGO tax credit is a program that allows Ohio taxpayers to claim a 100% tax credit for donations they make to certified Scholarship Granting Organizations (SGOs) like Faith Islamic Academy Scholarship Foundation. This means that taxpayers can reduce their Ohio income tax liability by the full amount of their donation, up to a maximum credit of $750 for single filers and $1,500 for married couples filing jointly. In other words, you will receive 100% of your contribution back as a credit when you file your taxes for the year. If you do not have a state tax liability, you will not receive a tax benefit from your donation.

• Donor gives: $750
• Claims the tax credit on the Ohio tax return: ($750)
• Net cost to donor: $0
• Scholarship to FIA student: $750

To estimate if you will have a tax liability in the coming year, review your tax liability from the previous year's State of Ohio tax return (in 2022, this amount would be on Ohio IT 1040, line 8c). After considering whether there have been significant changes to your income this year, reviewing the prior year's State of Ohio tax return will help to estimate whether you will have a similar liability in the current tax year. It is recommended that you contact your tax preparer with questions.

What is the difference between a tax deduction and a tax credit?

While both reduce your tax bill, they work in fundamentally different ways. A tax deduction lowers your taxable income—the amount of income that gets taxed. A tax credit, on the other hand, directly reduces the actual tax you owe, dollar for dollar. For example, a $1,000 deduction might save you $220 in taxes (if you're in the 22% tax bracket), but a $1,000 credit saves you the full $1,000. Because tax credits provide a direct reduction to your tax bill rather than just reducing taxable income, they're generally more valuable than tax deductions.

Is there a cap or limit to the tax credit?

There is no cap on donations to SGOs across the state. Any amount may be donated to the SGO, however, only $750 per individual or entity ($1,500 if married filing jointly) may be claimed as a tax credit on your Ohio income tax return.

When do I claim the credit?

Your donation must be made before you file your tax return! You may claim the tax credit for contributions made on or before the unextended return due date (typically April 15); however, please note that a single contribution cannot be used to claim a credit "double dip" across multiple tax years. This credit is claimed on your Ohio Individual Income Tax Return (Form IT 1040). Click here for more information.

I usually receive a refund after I file my Ohio tax return.  Does that mean I don’t qualify for the tax credit?

Not at all. In most cases, donating to the Faith Islamic Academy Scholarship Foundation would simply increase the size of your refund. We recommend consulting with your tax advisor to see how this credit would affect your specific situation.

Who will benefit from the program?

It's truly a win-win. Contributions to the Faith Islamic Academy Scholarship Foundation provide scholarships to muslim students and their families, with priority given to those with demonstrated financial need. At the same time, donors benefit by reducing their Ohio state tax liability dollar-for-dollar—meaning every dollar you contribute reduces the taxes you owe to Ohio by a full dollar. Essentially, you're redirecting your tax dollars from the State of Ohio to directly support muslim students.

Can I direct my contribution to a specific student?

No. As a 501(c)(3) nonprofit, the Faith Islamic Academy Scholarship Foundation is not permitted to accept donations designated for a particular student. Rest assured, though, that your contribution will help students who need it most through our scholarship program.

Do you have to have children enrolled at Faith Islamic Academy to donate and claim the tax credit?

No. All Ohio taxpayers are eligible to donate and benefit from the tax credit, whether or not they have children attending Faith Islamic Academy.

Can my dependent receive a scholarship and I still claim the tax credit?

Yes.

Where can I find more information?

For more information about the Ohio SGO tax credit, please visit the Ohio Department of Taxation.