Independent guide
The Federal Scholarship Tax Credit, explained plainly
Starting in 2027, taxpayers in participating states can get a dollar-for-dollar federal tax credit for donating to scholarship organizations. Those scholarships help families pay for private school, homeschooling, tutoring, and more. This site explains how it works, with every claim linked to its source.
How it works, in short
You donate to a Scholarship Granting Organization, called an SGO. The SGO gives scholarships to eligible students. You claim a federal tax credit for the full amount you gave, up to $1,700 a year. It is not a deduction. It comes straight off the tax you owe.
Students qualify if their household income is at or below 300% of the area median income where they live, and their state has opted into the program. About 9 in 10 households meet the income test.
Read the full guide for the details, with sources.
Start here
The definitive guide
Everything about the program in one place. How it works, who qualifies, how to give, how to apply.
State by state
Has your state opted in? Each state page covers the local rules, deadlines, and how to take part.
Eligibility checker
Answer a few questions and see if your family is likely to qualify for a scholarship.
Common questions
Straight answers to the questions families and donors ask most, each one sourced.
Latest updates
We track new Treasury guidance, state opt-ins, and program news, and explain what each development means for you.
Sources
- IRS: Federal Scholarship Tax Credit (FSTC) (accessed October 2026)
- Congressional Research Service: Federal Tax Credit Scholarship Program Included in P.L. 119-21 (R48724) (accessed October 2026)