Federal Tax Credit

FEDERAL SCHOLARSHIP Tax Credit

FEDERAL SCHOLARSHIP Tax Credit

FEDERAL SCHOLARSHIP Tax Credit

A New Way to Expand Educational Freedom

            Starting January 1, 2027, the Federal Scholarship Tax Credit gives you a powerful way to help children across America access the schools that fit them best.

            Eligible taxpayers can claim a dollar-for-dollar federal tax credit of up to $1,700 (individuals) or $3,400 (married couples filing jointly) when they give to approved K-12 scholarship-granting organizations (SGOs). Because scholarships will be open to families earning up to 300% of the Area Median Gross Income (AMGI), roughly 95 percent of American schoolchildren will qualify.

            Anyone, in any state, can donate and claim the credit. However, SGOs can only direct these contributions to students in states that have formally opted in.

            Here you can find out more about the Federal Scholarship Tax Credit and how you can partner with Parent’s Challenge: