Skip to main content
See every side of every news story
Published • loading... • Updated

Federal Scholarship for Private School and Homeschooling Will Be Open to Most Kids in 30-Plus States

The program lets donors claim a $1,700 federal credit, and Treasury says about 28 million children in participating states could be eligible.

  • On Thursday, the U.S. Department of the Treasury released guidance for the Federal Scholarship Tax Credit, clarifying rules for states and taxpayers before the program's January 1, 2027, launch.
  • Signed into law last year by President Donald Trump as part of the One Big Beautiful Bill Act, the program offers taxpayers dollar-for-dollar federal tax credits up to $1,700 for donations to scholarship-granting organizations .
  • Families earning up to 300% of their area's median income qualify for scholarships covering private tuition or public school expenses like tutoring, while states must opt in by January 1, 2027.
  • Building Hope CEO William Hansen calls the initiative 'revolutionary,' while critics warn the program could divert critical resources from public schools and increase racial disparities.
  • Treasury estimates the program could generate nearly $26 billion in annual contributions by 2030, with states required to finalize their SGO rosters by February 15, 2027.
Insights by Ground AI

25 Articles

Pennsylvania Capital-StarPennsylvania Capital-Star
+6 Reposted by 6 other sources
Lean Left

Feds provide guidance on new federal K-12 scholarship tax credit program

Created through President Donald Trump’s massive tax and spending law in 2025, the Education Freedom Tax Credit program allows individuals to claim a dollar-for-dollar federal tax credit of up to $1,700 for donations to certain scholarship-granting organizations, and taxpayers can contribute to an eligible organization regardless of where that taxpayer lives.

Think freely.Subscribe and get full access to Ground NewsSubscriptions start at $9.99/yearSubscribe

Bias Distribution

  • 59% of the sources lean Left
59% Left

Factuality Info Icon

To view factuality data please Upgrade to Premium

Ownership

Info Icon

To view ownership data please Upgrade to Vantage

Washington Examiner broke the news in Washington, United States on Wednesday, September 30, 2026.
Too Big Arrow Icon
Sources are mostly out of (0)

Similar News Topics

News
Feed Dots Icon
For You
Search Icon
Search
Blindspot LogoBlindspotLocal