A New Tax Credit Could Change Where Education Donors Give
Beginning January 1, 2027, the IRS will offer a tax credit for donations made to scholarship funds for K-12 private schools and educational services supporting students in these grades. This is the first time the federal government has offered a tax credit for charitable giving. It is also the first time the IRS has offered a tax advantage for giving to a particular category of giving — scholarships.
As part of the 2025 tax overhaul, the provision provides individuals a tax credit of up to $1,700 for giving to a qualified scholarship granting organization (SGO). Unlike a charitable deduction, which reduces the amount of income that can be taxed, a tax credit reduces the amount of total taxes you owe dollar for dollar.
October 2026
Two recent studies should concern anyone about the direction K-12 education has taken over the past decades. The findings suggest that since the 2010s, we have consistently missed key ...
October 2026
Key insight: Learn why thousands of tax professionals are mobilizing around a new federal education tax credit. What's at stake: Public school systems and private education advocates face a massive shift ...
October 2026
US school-choice advocates are launching a $10 million-plus marketing campaign to push President Trump’s tax-credit-fueled initiative to create more student grants. Taxpayers can contribute up to $1,700 individually or $3,400 for ...
Press Inquiries
If you are a media representative contact us below.
