Proposed Regulation Targets Tax-Exempt Status of Private Colleges with Race-Based DEI Programs

The Trump administration's Treasury Department has proposed a regulation to revoke the tax-exempt status of private colleges and schools that provide race-based student assistance. If finalized, this policy, effective post-May 2027, seeks to dismantle diversity, equity, and inclusion initiatives. Higher education leaders criticize the proposal, arguing it hinders access for working-class students and people of color.