According to a November 25, 2025 announcement by the U.S. Department of Treasury and Internal Revenue Service (IRS), comments from the public are being accepted regarding a new federal tax credit program that will provide funds for K-12 services. The public comment period, which ends December 26. 2025, seeks input about several factors, including the policies and procedures guiding the scholarship-granting organizations that will distribute the funds. The information gathered will likely be used by the agencies to create a proposed rule.
The first nationwide private school choice program was approved through the Republican-led “One Big, Beautiful Bill.″ Supporters say the program will expand educational choices for families, while critics say the tax incentive program will harm support for public schools and diminish educational equity.
The new law allows any individual taxpayer, beginning on Jan. 1, 2027, to donate up to $1,700 annually to a scholarship-granting 501(c)(3) organization. Donors could then be eligible for a 100% federal income tax credit for their contributions.
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