Treasury proposes rules for 2027 federal voucher program

The federal scholarship tax-credit program, scheduled to launch in 2027, would let qualifying taxpayers claim a dollar-for-dollar federal tax credit for donations of up to $1,700 to scholarship-granting organizations. Those organizations could use the money for scholarships covering private-school tuition and other education expenses, including tutoring, summer school and computers; public-school students may also qualify. Supporters, including Colorado Gov. Jared Polis, say opting in could direct benefits to children in their states, while many Democratic governors remain undecided and opponents warn the program could steer public resources toward private education. Critics also argue that private schools and scholarship organizations could set admissions and award rules that leave out low-income students, students of color, English learners and students with disabilities, who may lose public-school protections. Tennessee has opted in, with advocates weighing the program’s potential effects on equity and public schools.