For Parents

ESAs are Taxable Income … Death Knell for S 556?

Published

5 years ago

November 21, 2019

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!!!

***https://newschannel9.com/news/nation-world/official-tennessee-school-vouchers-are-federally-taxable-income***

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.

***https://www.commercialappeal.com/story/news/2019/11/19/memphis-senator-opposes-school-voucher-program-update/4239159002/***

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

***https://www.localmemphis.com/news/education/local-state-senator-wants-tennessee-to-hold-off-on-school-voucher-program-over-tax-issue/***

For Parents

“Real” School Choice Bill Is Here

Published

3 years ago

December 6, 2021

PALMETTOKIDSFIRST

County Republican Parties (although this should not be a partisan issue) from around South Carolina are coming together to support “real” school choice … and to FIX the (not so) Exceptional SC debacle.

On Monday, December 6th, 2021, Senator Tom Davis (R – Beaufort) filed S903 … the PACE Scholarship Bill. Senator Brian Adams (R – Dorchester / Berkeley) who has been working with our friends in the Dorchester County Republican Party promptly joined on.

P.A.C.E Scholarship, a $100 MILLION school choice scholarship tax credit bill is out.

> $25 Million for Exceptional Needs (our hot issue)

> $25 Million for Disadvantaged / Low-Income

> $10 Million for Home School

> $40 Million for Kids moving from Public to Independent Schools (just like in Georgia)

https://www.palmettokidsfirst.org/wp-content/uploads/2021/11/PACEBill.pdf

The below graphic is the general structure. For our families, no real change except that Exceptional SC will be gone (finally) and INDEPENDENT NON-PROFITS will raise the tax credit donations and issue scholarships. Same qualifications to receive a scholarship … and same $11,000 maximum … only difference is this structure works everywhere!!!

Email or call us with any questions. We will let you know how you can help make this a reality in the coming weeks. #NeverSurrender!!!

For Parents

PKF FLASHBACK: “Who” Recommended this (not so) Exceptional SC

Published

3 years ago

November 5, 2021

PALMETTOKIDSFIRST

*https://www.postandcourier.com/aikenstandard/news/palmetto-promises-weaver-makes-recommendations-to-improve-education-in-south-carolina/article_e35cc85e-34e9-11ec-bc4f-272ce62ad918.html*

FLASHBACK – “Who” Destroyed SC Private School Choice Program: Remember, it was May 2016 … the Department of Revenue had already finished their nefarious politically targeted faux “audit” of Palmetto Kids FIRST. The Department, obviously working on behalf of nefarious legislators, claimed they wanted “peace” and just compliance with the law (although we did comply completely by the way, which is why they refused to shut us down as then we would prove it in COURT). But in the last 45 MINUTES of the SC Legislative Session that year, the proposal was brought up and passed to give 100% control the the GOVERNMENT … 100% control of the ENTIRE PROGRAM.

They couldn’t shut us down, they couldn’t stop us from raising the tax credits and issuing scholarships, they couldn’t stop us from making the program successful … so they proposed taking over the ENTIRE PROGRAM … and where are we today??? Complete failure and the Nation’s Worst Rated Independent School Choice Program.

YES, these nefarious parties (generally Republicans and their “monied” special interest and “paid” advocates) got everything they wanted … they DESTROYED independent school choice in SC … and many lives and schools in the process.

And guess “who” came up with and/or supported the idea that DESTROYED independent school choice in SC … as an “Independent Conservative Think Tank” … Jim DeMint, Ellen Weaver & Palmetto Promise Institute!!!

https://www.palmettokidsfirst.org/wp-content/uploads/2021/10/2016-05-2X-PPI-Legislative-Analysis-ECENC.pdf?ct=t%282021-10-30+-+Palmetto+Kids+FIRST%29

#FollowTheMoney

You won’t find that “Legislative Analysis” on the Palmetto Promise Institute website anymore … nor will you find the multiple other MAJOR “flubs”. They really are WRONG on A LOT of things … and history has proven it … and we have saved it all.

REMEMBER THIS DEBACLE? It was our October 1, 2016 Saturday Morning Parents Update. Ellen Weaver & Palmetto Promise “congratulated” Nevada … they were legitimately happy with the result even though all the kids suffered and the PROGRAM was completely shut down … and NO CHILDREN ever received a scholarship.

It was the biggest debacle in School Choice History (perhaps until Tennessee in 2020 which they supported too).

On September 29th, 2016, Ellen Weaver & Palmetto Promise “congratulated” Nevada … while that same day the Republican Governor of Nevada confirmed the ruling KILLED the ESA program … and the Republican State Treasurer who had pushed for the program APOLOGIZED to the families hurt by this whole debacle. But Palmetto Promise was happy??? It really is sick.

SUMMER 2020 – the $32 MILLION Debacle: And nobody is going to forget the debacle last summer … and the $1.4 MILLION ClassWallet “contract. That was another brainchild of the FAIL policies of Jim DeMint, Ellen Weaver & Palmetto Promise Institute.

It is all pretty sick stuff … but why do we care? Because this week SC State Superintendent of Education, Molly Spearman, announced she will not be running for re-election. Ok, so what?

Well … Ellen Weaver is rumored to be running for the position.

She / they / the “monied” special interest want her to RUN all of SC Education!!!

Is this what the call “failing up”???

More to come … but stay tuned!!!

For Parents

Only $165,579 raised in September

Published

3 years ago

October 19, 2021

PALMETTOKIDSFIRST

Friends, it is not really getting any better is it?

Our personal SC State Representative, Jason Elliott (R – Greenville) … not someone we like anymore as he has lied to us for years now and is working with his PAID ADVOCATE “masters” at Palmetto Promise Institute (Jim DeMint, Ellen Weaver & “Dr.” Oran Smith) … promised that his bill H 3899 that became law on May 17th, 2021 would fix everything.

IT HAS NOT!!!

On September 14th, 2021, (not so) Exceptional SC announced that there would be NO FALL SCHOLARSHIPS. Why? Because they don’t have the money because Rep. Jason Elliott’s H 3899 was a LIE and a COMPLETE FAILURE!!!

#FollowTheMoney!!!!

We dug the top picture up from the archives … what Jason told us a while back. The schools are satisfied??? #Really??? He doesn’t respond anymore … curious why? Sad …

And this from last summer / fall. Remember Jason & Palmetto Promise Institute‘s other bright idea. A lawsuit was filed the day after their idea was announced … and the trial court IMMEDIATELY SHUT IT DOWN!!!