A Maryland 100% government run “Voucher” program started in 2016 has demanded the return of $100,000 in scholarship funds (all funds since the beginning of the program in 2016) from a particular Christian school because … basically … the government officials don’t like the school.

The article demonstrates what we have been saying will happen under 100% government control and administration of a private school choice program. 

(Click image above or HERE)

Technically they are saying the Christian school needs to add an anti-discrimination clause regarding sexual orientation … but other schools without the anti-discrimination clause are not being punished … so it appears to be more “targeting” of a specific school or administration.

That would never happen in SC would it?  We think it already is … but that is a longer discussion.

Anyhow, maybe you agree that XYZ school should not get scholarship funds for whatever reason … but just realize … one day … YOU & YOUR SCHOOL WILL BE “TARGETED” TOO.  Maybe it will be your Christian beliefs, or maybe because you are a Muslim school, or maybe it is because your school leader “speaks up” too much or angered the wrong politician … or the government officials don’t like the curriculum you are teaching … or you don’t use the particular “test” they want you to use … or whatever the reason … know that they will find a reason to “target” your school too … eventually!!!

Why do you think some school leaders today are so “quiet” when it comes to the blatant failings of (not so) Exceptional SC???  They don’t want to be “targeted” as some schools and parents have already been.  Read more here:  Racism? Favoritism? Or BOTH??

Hey, we don’t blame the school leaders or parents that remain silent … but trust that eventually … the government officials are going to come after YOU TOO!!!  

We have been preaching this for years now … ever since the “paid” special interest advocates pushed for a direct refundable parental tax credit … these payments are likely TAXABLE INCOME!!!

This week the Republican Attorney General & Republican Commissioner of Education found that the newly passed Education Savings Account (ESA) program in Tennessee would be TAXABLE INCOME to the parent recipients. (NOTE: Although the Tennessee ESA is currently the law, it was a major debacle getting it passed. It won by one vote, a Republican that only voted yes if they promised to keep ESAs OUT of his district … so the program is only in 2 out of 95 counties in TN and the school districts get reimbursed 100% for each kid that leaves … so the state is paying DOUBLE for those kids in the program … so it wasn’t “really” passed and like Nevada, our bet is it will be killed before it is ever implemented – costing taxpayers millions in the process.)

But you don’t have to take our word for it … watch and read the articles yourself.

Reporter Richard Ransom asks …. “Were lawmakers mislead? Were they lied to?” Our experience … YES!!!

The IRS rules are pretty simple … if you get a check from state government … you must provide that person with an IRS Form 1099-G … period!!!

What does this have to do with South Carolina? Well, do you get a refundable parental tax credit? Well, is that taxable income? We think it is … and that is why we opposed it. SC legislators can make the payment free from SC state income tax … but they have NO influence on making it FEDERALLY tax free. That is the reason NO OTHER STATE IN THE NATION has such a large refundable parental tax credit. Others states are not stupid … they know (like Tennessee has figured out) that these direct payments from state government is a tax problem. There are a few states with small $100 or $200 refundable education tax credits … and yes they are taxable too … but that is nothing like an $11,000 refundable parental tax credit. That is a HUGE tax bill.

And as other articles point out … this impacts the poor the most. Yes wealthy parents may get a $37% federal income tax bill … yes, keep hoping you don’t get audited by the IRS … but for low income families that might be subject to income limitations on their benefits, food stamps, ACA healthcare … this extra “income” may cost you more than you actually receive.

SC Legislators are aware of this problem … we have told them … but the “paid” special interest sing a different story. Well, what do they have to say now? Guess who has been WRONG almost every time … the “paid” special interest advocates. #FollowTheMoney!!!

Remember Palmetto Promise Institutes “Bigger. Better. Faster.” proclamation … read it HERE. These guys have no idea what they are talking about.

“This is a worst-case scenario for students, their families, the school districts and the state.” – TN STATE SENATOR RAUMESH AKBARI

FUNDRAISING UPDATE: Only $133,350 raised in October!!!:  Well, thank you to the SC Department of Revenue for continuing to post the monthly fundraising totals with another update on Friday … and continuing to THROW #FireChadConnelly under the bus for his complete failures.

The numbers don’t lie … we only have less than 2 months left for them to raise $8,942,535 .. when they only raised $133,350 last month.  This is a dangerous and unnecessary game (not so) Exceptional SC is playing with our children.  All so Chad Connelly can have a job???  #FollowTheMoney!!!

And worse … if it was not for the $100,000 publicity stunt donation from C. Dan “Subprime” Adams who is the Board Chairman of Palmetto Promise Institute (one of the main groups behind this mess) … they would have only raised $33,350 last month.  THE WORST MONTH YET!!!

And what is (not so) Exceptional SC’s excuse … this week?  See the insanity they told parents this week in their every month or two update:

The tax law changed December 22, 2017 … nearly two years ago.  This is no “transition year” … and EVERYBODY … except apparently (not so) Exceptional SC … knew it.

And it gets worse ….

Remember this from last week.  We pointed it out to the Department of Revenue … and within a few hours their General Counsel was asking the SC Association of CPAs to REMOVE Chad Connelly’s article.  Two years on the job and Chad thinks ALL 73 business taxes in SC are eligible for the credit???

CPAs will never trust this guy!!!  Would you???

And worse … if individual CPAs don’t trust the legal / unconstitutional structure of the NATION’S ONLY government run K-12 tax credit scholarship program enough to advise a client to give $5,000 or $10,000 donation … WHY DO YOU THINK A MAJOR CORPORATION IS GOING TO GIVE MILLIONS?!?!?

Corporations don’t even donate in states were the programs are constitutional … just look at Georgia and the 2019 results of their $100 MILLION program!!! 

10% corporate donors … DOWN from 15% historically.  What is Chad Connelly talking about?!?!?!