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Gov. Reeves says Mississippi will participate in federal school-choice tax credits

Mississippi will offer a federal tax credit up to $1,700 for donations funding scholarships for K-12 students earning up to 300% of area median income starting in 2027.

  • On Monday, Mississippi Governor Tate Reeves opted the state into the Federal Tax Credit Scholarship Program to promote school choice, calling it a win for school-choice proponents.
  • The One Big Beautiful Bill Act, signed on July 4, 2025, created the federal tax-credit program allowing donations up to $1,700, starting in federal tax year 2027.
  • In the coming months, the Office of the Governor will designate eligible Scholarship Granting Organizations, and donations must fund scholarships for eligible K-12 students below 300 percent of the area median income.
  • Last week, the Mississippi House passed House Bill 2, while Senate leaders oppose programs that send public dollars to private schools.
  • A state release framed the program as bolstering classroom performance and parental choice, but research shows most private-school vouchers nationally go to students already attending private schools.
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Action News 5 broke the news in Memphis, United States on Monday, January 19, 2026.
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