Trump Administration Proposes Stripping Tax Exemption for Private Colleges with DEI Policies

The Trump administration has proposed a new regulation that would remove the tax-exempt status of private schools and colleges offering targeted assistance to students based on their race. This move, set to take effect after May 2027 if finalized, is part of a broader effort to eliminate diversity, equity, and inclusion (DEI) policies, which officials argue discriminate against white and Asian American students. Higher education leaders have criticized the proposal, stating it hinders access to education for working-class Americans and people of color.