10/19/2026
A new federal tax credit for Kā12 scholarship contributions is set to take effect in 2027.
The Treasury Department and IRS have issued proposed regulations for the Education Freedom Tax Credit, which would allow eligible taxpayers to claim a federal income tax credit of up to $1,700 for qualified cash contributions to participating Scholarship Granting Organizations. Married couples filing jointly may claim up to $3,400.
The proposed rules also provide guidance for taxpayers, participating states, and scholarship organizations as they prepare for the programās January 1, 2027 launch.
Learn more about the proposed regulations and what taxpayers should know:
Read the IRS update: https://hubs.ly/Q04B2z4g0
IR-2026-117, Oct. 1, 2026 ā The Department of the Treasury and the IRS issued proposed regulations to implement the new Federal Scholarship Tax Credit under section 25F, commonly known as the Education Freedom Tax Credit, the first federal tax credit supporting private contributions for K-12 schol...