Trump administration proposes federal school-choice scholarship
The Treasury Department proposed regulations to implement the Federal Scholarship Tax Credit, a new federal school choice scholarship program set to begin Jan. 1. The program would let taxpayers donate to state scholarship organizations and receive federal tax credits (individual cap $1,700, couples double), and would allow children in participating states to use awards for private or religious tuition, homeschooling costs, tutoring, special education therapies and other attendance-related expenses. At least 30 states had opted in for 2027, regulators estimate eventual flows of nearly $26 billion and as many as 2.2 million scholarships annually, and the public has 60 days to comment.
Federal tax-credit scholarships will begin Jan. 1.
Context
Congress passed the tax-credit law last year and the administration wrote rules now.…
The full analysis
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