The Children's Promise Act and The Pregnancy Resource Act

A tax credit is available for voluntary cash contributions to an eligible charitable organization (“ECO”). ECOs include educational services charitable organizations (“ESCO”) and Pregnancy Resource Charitable Organizations (“PRCO”). The amount of the credit is limited to fifty percent (50%) of the taxpayer’s total income tax liability, fifty percent (50%) of the taxpayer’s total insurance premium tax liability and, in the case of taxpayers not operating as a corporation, fifty percent (50%) of the total real property ad valorem tax liability. The tax credit may be carried forward for five (5) years.

For more comprehensive information concerning The Children’s Promise Act, The Pregnancy Resource Act, and the related tax credits please see the Technical Bulletin here.


Tax Credits Available for ECOs

Up to $8,000,000 of the tax credits allocated during a calendar year may be allocated for contributions to ECOs that are either licensed by or under contract with the MS Department of Child Protection Services and provide services related to adoption and/or foster care related activities. No more than twenty-five percent (25%) of the credits may be allocated for contributions to a single ECO, resulting in a per ECO cap of $2,000,000. See the following for a listing of qualifying ECOs:

Businesses must have their contribution(s) certified by completing the appropriate application below and sending it to the Department for review. Instructions are included in the applications


Tax Credits Available for ESCOs

Up to $8,000,000 of the tax credits allocated during a calendar year may be allocated for contributions to ESCOs. No more than five percent (5%) of the credits may be allocated for contributions to a single ESCO, resulting in a per ESCO cap of $400,000.

Of the $8,000,000 available for ESCOs, $2,000,000 is allotted solely for contributions to Magnolia Speech School and $1,200,000 is allotted solely for contributions to ESCOs that provide services to children who have a chronic illness or physical, intellectual, developmental, or emotional disability. Any contributions included in the $2,000,000 credits not allocated before April 1, 2022, will be made available to all ESCOs. Any contributions included in the $1,200,000 credits not allocated before April 1, 2022, will be made available to ESCOs that provide services to children in a foster care placement program established by the Department of Child Protection Services, children placed under the Safe Families for Children model, or children at significant risk of entering a foster care placement program established by the Department of Child Protection Services. See the following for a listing of qualifying ESCOs:

Businesses must have their contribution(s) certified by completing the appropriate application below and sending it to the Department for review. Instructions are included in the applications


Tax Credits Available for PRCOs

Up to $3,500,000 of the tax credits allocated during the 2022 calendar year and thereafter may be allocated for contributions to PRCOs. No more than fifty percent (50%) of the credits may be allocated for contributions to a single PRCO, resulting in a per PRCO cap of $1,750,000. See the following for a listing of qualifying PRCOs:

Businesses must have their contribution(s) certified by completing the application below and sending it to the Department for review. Instructions are included in the application.


How to Qualify as an ECO, ESCO or PRCO

A charitable organization interested in qualifying as an ECO, ESCO or PRSO should submit a letter ruling request. Instructions for submitting a letter ruling request can be found in the link to the technical bulletin here.


Notices

10/26/21 - Children's Promise Act - 2022 

12/4/20 - Children’s Promise Act Notice – 2021​​​

9/1/20 - Children's Promise Act - Aggregate Limit Reached for 2020 Calendar Year​​

7/24/20 - Children's Promise Act - House Bill 1729

1/2/20 - Children’s ​Promise Act Notice Calendar Year 2020

12/3/19 - Children’s Promise Act Notice


Listing of Allocated Funds

2022

2021

2020

2019​