Federal Education Freedom Tax Credit Expected to Benefit 9 in 10 Students Starting 2027

A new federal Education Freedom Tax Credit, the nation's first comprehensive school choice program, is projected to make 90% of K-12 students eligible when it takes effect in 2027. This means approximately 51.7 million students could qualify for the program, which allows taxpayers to receive a 100% federal tax credit for donations to eligible scholarship organizations, up to $1,700 annually. So far, 30 states have opted into the program, with others awaiting guidance from the Department of the Treasury.