Nevada Businesses Have Opportunity To Increase Educational Options Of Lower Income Students
October 13, 2021
Although tax season has passed for most of us, I want to remind Nevada business owners about an opportunity to make a direct impact on the lives of Nevada’s lower-income families, and the education their children receive.
As a result of a state legislative change in 2015, Nevada businesses can allocate all or a portion of what they owe in Modified Business Tax to fund student scholarships at Nevada’s K-12 private schools or to pay for transportation to and from charter schools.
While businesses will receive a dollar-for-dollar tax credit for the amount they allocate to the Opportunity Scholarship program, what the families receive can be life-changing. That’s why Bank of Nevada has contributed a significant amount of funds to this program since 2016. I want to encourage other Nevada businesses that owe Modified Business Tax to consider a similar contribution because I know the impact it could have on a child’s future.
All parents want the best education possible for their children. However, due to economic circumstances, some families don’t have choices. That’s where the Opportunity Scholarship can help.
There are six organizations recognized by the State of Nevada that can award Opportunity Scholarships to families who meet the eligibility guidelines. All Nevada families who earn 300 percent of the federal poverty level - or less - can apply for the scholarship. Generally, a family of four making about $79,000 or less would be eligible.
An Opportunity Scholarship provides recipient families the freedom to give their students the best education as they see fit. Unfortunately, the best school is not always the school located closest to their home.
Tax credit programs like this have been available in other states for years, but it is still relatively new in Nevada. So far, 2,308 Nevada families have taken advantage of the program.
The Nevada Department of Education determines the maximum amount of scholarship funding any student can receive based on a per pupil formula. Currently, the maximum scholarship amount is $8,469. Those funds can be used for charter or private school tuition, fees, or transportation.
Typically, the scholarship application period falls between January and March, and funds are awarded first-come, first-served. Families are encouraged to apply early and to all the organizations. A student may receive more than one scholarship, but the total amount of that scholarship cannot exceed $8,469.
To watch a recent interview on this topic with John Guedry, click here.
John Guedry is division CEO of Bank of Nevada. He has more than 38 years of financial services expertise working with a wide range of businesses and industries in Southern Nevada. He is also a longtime supporter of educational efforts that increase the availability of STEM curriculum, promote higher student achievement, and create better long-term outcomes for students, especially those from disadvantaged families.
Bank of Nevada
Bank of Nevada, a division of Western Alliance Bank, Member FDIC, delivers relationship banking that puts clients at the center of everything. Founded in 1994, Bank of Nevada offers a full spectrum of tailored business banking solutions and outstanding service, with offices in Las Vegas, Henderson, North Las Vegas and Mesquite. As part of $65 billion Western Alliance Bancorporation — ranked #1 top-performing large bank with assets greater than $50 billion in 2021 by both American Banker and Bank Director — Bank of Nevada has the reach, resources and local market expertise that make a difference for customers.