Nonprofit schools enjoy generous tax advantages

Nonprofit schools enjoy generous tax advantages, But nonprofit schools enjoy generous tax advantages, including low-cost benefit packages, property-tax exemptions and grant eligibility. . For-profit schools pay taxes but generally refrain from soliciting parents, instead securing money from investors who hope to make money later, if the school is sold or the company that owns it goes public.

It remains unclear how profitable a for-profit school can be, especially since private corporations are not required to disclose their financial information. But the market for private-school enrollment generally seems robust: according to one study conducted for a new school, the number of school-age children in households between Battery Park City and 72nd Street with annual incomes above $500,000 soared to 15,700 in 2010, from 4,300 a decade before. According to the study, the top dozen schools in the city — all nonprofit — have only 11,000 seats.