The Federal Scholarship Tax Credit is coming in 2027

Up to $1,700 per student for private school and homeschool families. School Proofing is ready to help you track compliance and manage your scholarship.

31 states opted in · Launches January 2027 · Audit-ready records

How the federal program works

Three steps from your state opting in to scholarship dollars in your family's hands.

1. Your state opts in

Governors decide whether to participate. 31 states have already said yes.

2. Taxpayers donate

Donors give to Scholarship-Granting Organizations and receive a federal tax credit in return.

3. Families apply & track

SGOs award scholarships. You use School Proofing to keep compliance, expenses, and reporting in order.

Is your state participating?

31 states opted in · 4 pending · 2 opted out. Click any row for details.

Opted In (31) Pending (4) Opted Out (2) Unknown (17)
State Status Governor Announced Effective Max Scholarship
Alabama AL OptedIn Jan 1, 2027 $1,700
Alaska AK OptedIn Jan 1, 2027 $1,700
Arizona AZ OptedIn Jan 1, 2027 $1,700
Arkansas AR OptedIn Jan 1, 2027 $1,700
California CA Unknown
Colorado CO OptedIn Jan 1, 2027 $1,700
Connecticut CT Unknown
Delaware DE Unknown
District of Columbia DC Unknown
Florida FL OptedIn Jan 1, 2027 $1,700
Georgia GA OptedIn Jan 1, 2027 $1,700
Guam GU Unknown
Hawaii HI Pending
Idaho ID OptedIn Jan 1, 2027 $1,700
Illinois IL Unknown
Indiana IN OptedIn Jan 1, 2027 $1,700
Iowa IA OptedIn Jan 1, 2027 $1,700
Kansas KS OptedIn Jan 1, 2027 $1,700
Kentucky KY OptedIn Jan 1, 2027 $1,700
Louisiana LA OptedIn Jan 1, 2027 $1,700
Maine ME Unknown
Maryland MD Unknown
Massachusetts MA Unknown
Michigan MI Unknown
Minnesota MN OptedOut
Mississippi MS OptedIn Jan 1, 2027 $1,700
Missouri MO OptedIn Jan 1, 2027 $1,700
Montana MT OptedIn Jan 1, 2027 $1,700
Nebraska NE OptedIn Jan 1, 2027 $1,700
Nevada NV Unknown
New Hampshire NH OptedIn Jan 1, 2027 $1,700
New Jersey NJ Unknown
New Mexico NM Pending
New York NY OptedIn Jan 1, 2027 $1,700
North Carolina NC OptedIn Jan 1, 2027 $1,700
North Dakota ND OptedIn Jan 1, 2027 $1,700
Ohio OH OptedIn Jan 1, 2027 $1,700
Oklahoma OK OptedIn Jan 1, 2027 $1,700
Oregon OR Pending
Pennsylvania PA Unknown
Puerto Rico PR Unknown
Rhode Island RI Unknown
South Carolina SC OptedIn Jan 1, 2027 $1,700
South Dakota SD OptedIn Jan 1, 2027 $1,700
Tennessee TN OptedIn Jan 1, 2027 $1,700
Texas TX OptedIn Jan 1, 2027 $1,700
Utah UT OptedIn Jan 1, 2027 $1,700
Vermont VT Pending
Virgin Islands VI Unknown
Virginia VA OptedIn Jan 1, 2027 $1,700
Washington WA Unknown
West Virginia WV OptedIn Jan 1, 2027 $1,700
Wisconsin WI OptedOut
Wyoming WY OptedIn Jan 1, 2027 $1,700

What School Proofing does for federal scholarship families

Track your state's compliance requirements

Every state has different homeschool rules. We track them per student so nothing falls through.

Document expenses for scholarship reporting

Receipt capture with AI extraction, category tagging, and quarterly reimbursement packets.

Audit-ready compliance reports

One click generates compliance, attendance, ESA, and academic reports as a single ZIP.

Secure document storage

Notice of Intent, assessment results, evaluations — all in one place, all encrypted at rest.

Deadline reminders

90/60/30/14/7/1-day email reminders so you never miss a filing window.

Auto-progression

Finish your last workflow step and the requirement marks itself complete — no extra clicks.

Frequently asked

When does the federal program start?

The federal Scholarship Tax Credit program is scheduled to take effect on January 1, 2027. The IRS is expected to publish implementing regulations before launch.

Is my state participating?

31 states have opted in so far. Use the interactive map above to check your state's status — it updates as new states announce their decisions.

How much is the scholarship?

Up to $1,700 per student per year for qualifying families. The cap is set by federal statute and may be adjusted by future legislation.

Who decides which families get scholarships?

Scholarship-Granting Organizations (SGOs) in your state. Each state designates its own SGOs, which then accept applications and award scholarships to eligible families.

Who is eligible?

Families with household income up to 300% of area median gross income are eligible. SGOs make the final award decisions and may set additional criteria.

Do I need School Proofing?

If you receive a scholarship, you need to track your state's homeschool compliance requirements and keep audit-ready records. School Proofing automates that work — deadline tracking, document storage, attendance logs, expense receipts, and one-click compliance reports.

Get notified when the federal program launches in your state

One email when your state opts in, or when the federal launch date is finalized. No spam.

Start tracking compliance today

14-day free trial. No credit card required. Your records, encrypted and exportable.

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