The IRS has announced that 27 states have elected to participate in the Federal Scholarship Tax Credit (FSTC) program. Under the program, beginning in 2027, eligible taxpayers can claim a federal tax credit for contributions to Scholarship Granting Organizations (SGOs) that provide scholarships for qualified elementary and secondary education expenses. To claim the credit of up to $1,700, a taxpayer must contribute to an SGO located in a state that is participating in the FSTC program and that has submitted a list of qualified SGOs to the IRS. State participation in the program is voluntary. Visit https://bit.ly/4oEtUtP for a list of participating states.
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