How Should the New Federal Scholarship Tax Credit Be Regulated? Treasury Department rulemaking could make or break OBBBA's school choice provision.
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| Title: | How Should the New Federal Scholarship Tax Credit Be Regulated? Treasury Department rulemaking could make or break OBBBA's school choice provision. |
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| Authors: | BLEW, JIM1,2, ELORZA, JORGE3, ENLOW, ROBERT4, LUEBKE, ROBERT5, MURPHY, PETER6 |
| Source: | Education Next. Fall2025, Vol. 25 Issue 4, p1-12. 12p. |
| Subject Terms: | *Federal regulation, *Scholarships, *Educational equalization, *Educational law & legislation, *Policy sciences, *School choice, *Religious education, Tax credits |
| Company/Entity: | United States. Dept. of the Treasury |
| Abstract: | The article focuses on the regulatory challenges and opportunities surrounding the new federal scholarship tax credit established by the Educational Choice for Children Act (ECCA) within the One Big Beautiful Bill Act. This provision offers dollar-for-dollar federal tax credits to individual taxpayers who donate to Scholarship Granting Organizations (SGOs) that provide K–12 scholarships, marking the first nationwide school choice initiative. Experts emphasize that the U.S. Treasury Department’s forthcoming rulemaking will be critical in clarifying ambiguities, defining governors’ roles in state opt-in decisions, and ensuring equitable, flexible program implementation without excessive state-imposed restrictions. Key concerns include preventing political interference, protecting religious freedom and institutional autonomy, maintaining state flexibility while respecting federalism, and fostering innovation in educational options. The success of the program depends on timely, clear, and balanced regulations that prioritize student access and educational opportunity across all states. [Extracted from the article] |
| Copyright of Education Next is the property of Education Next Institute and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.) | |
| Database: | Education Research Complete |
| FullText | Links: – Type: pdflink Text: Availability: 0 |
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| Header | DbId: ehh DbLabel: Education Research Complete An: 192921907 AccessLevel: 6 PubType: Academic Journal PubTypeId: academicJournal PreciseRelevancyScore: 0 |
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| Items | – Name: Title Label: Title Group: Ti Data: How Should the New Federal Scholarship Tax Credit Be Regulated? Treasury Department rulemaking could make or break OBBBA's school choice provision. – Name: Author Label: Authors Group: Au Data: <searchLink fieldCode="AR" term="%22BLEW%2C+JIM%22">BLEW, JIM</searchLink><relatesTo>1,2</relatesTo><br /><searchLink fieldCode="AR" term="%22ELORZA%2C+JORGE%22">ELORZA, JORGE</searchLink><relatesTo>3</relatesTo><br /><searchLink fieldCode="AR" term="%22ENLOW%2C+ROBERT%22">ENLOW, ROBERT</searchLink><relatesTo>4</relatesTo><br /><searchLink fieldCode="AR" term="%22LUEBKE%2C+ROBERT%22">LUEBKE, ROBERT</searchLink><relatesTo>5</relatesTo><br /><searchLink fieldCode="AR" term="%22MURPHY%2C+PETER%22">MURPHY, PETER</searchLink><relatesTo>6</relatesTo> – Name: TitleSource Label: Source Group: Src Data: <searchLink fieldCode="JN" term="%22Education+Next%22">Education Next</searchLink>. Fall2025, Vol. 25 Issue 4, p1-12. 12p. – Name: Subject Label: Subject Terms Group: Su Data: *<searchLink fieldCode="DE" term="%22Federal+regulation%22">Federal regulation</searchLink><br />*<searchLink fieldCode="DE" term="%22Scholarships%22">Scholarships</searchLink><br />*<searchLink fieldCode="DE" term="%22Educational+equalization%22">Educational equalization</searchLink><br />*<searchLink fieldCode="DE" term="%22Educational+law+%26+legislation%22">Educational law & legislation</searchLink><br />*<searchLink fieldCode="DE" term="%22Policy+sciences%22">Policy sciences</searchLink><br />*<searchLink fieldCode="DE" term="%22School+choice%22">School choice</searchLink><br />*<searchLink fieldCode="DE" term="%22Religious+education%22">Religious education</searchLink><br /><searchLink fieldCode="DE" term="%22Tax+credits%22">Tax credits</searchLink> – Name: SubjectCompany Label: Company/Entity Group: Su Data: <searchLink fieldCode="DE" term="%22United+States%2E+Dept%2E+of+the+Treasury%22">United States. Dept. of the Treasury</searchLink> – Name: Abstract Label: Abstract Group: Ab Data: The article focuses on the regulatory challenges and opportunities surrounding the new federal scholarship tax credit established by the Educational Choice for Children Act (ECCA) within the One Big Beautiful Bill Act. This provision offers dollar-for-dollar federal tax credits to individual taxpayers who donate to Scholarship Granting Organizations (SGOs) that provide K–12 scholarships, marking the first nationwide school choice initiative. Experts emphasize that the U.S. Treasury Department’s forthcoming rulemaking will be critical in clarifying ambiguities, defining governors’ roles in state opt-in decisions, and ensuring equitable, flexible program implementation without excessive state-imposed restrictions. Key concerns include preventing political interference, protecting religious freedom and institutional autonomy, maintaining state flexibility while respecting federalism, and fostering innovation in educational options. The success of the program depends on timely, clear, and balanced regulations that prioritize student access and educational opportunity across all states. [Extracted from the article] – Name: AbstractSuppliedCopyright Label: Group: Ab Data: <i>Copyright of Education Next is the property of Education Next Institute and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract.</i> (Copyright applies to all Abstracts.) |
| PLink | https://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=ehh&AN=192921907 |
| RecordInfo | BibRecord: BibEntity: Languages: – Code: eng Text: English PhysicalDescription: Pagination: PageCount: 12 StartPage: 1 Subjects: – SubjectFull: Federal regulation Type: general – SubjectFull: Scholarships Type: general – SubjectFull: Educational equalization Type: general – SubjectFull: Educational law & legislation Type: general – SubjectFull: Policy sciences Type: general – SubjectFull: School choice Type: general – SubjectFull: Religious education Type: general – SubjectFull: Tax credits Type: general – SubjectFull: United States. Dept. of the Treasury Type: general Titles: – TitleFull: How Should the New Federal Scholarship Tax Credit Be Regulated? Treasury Department rulemaking could make or break OBBBA's school choice provision. Type: main BibRelationships: HasContributorRelationships: – PersonEntity: Name: NameFull: BLEW, JIM – PersonEntity: Name: NameFull: ELORZA, JORGE – PersonEntity: Name: NameFull: ENLOW, ROBERT – PersonEntity: Name: NameFull: LUEBKE, ROBERT – PersonEntity: Name: NameFull: MURPHY, PETER IsPartOfRelationships: – BibEntity: Dates: – D: 01 M: 10 Text: Fall2025 Type: published Y: 2025 Identifiers: – Type: issn-print Value: 15399664 Numbering: – Type: volume Value: 25 – Type: issue Value: 4 Titles: – TitleFull: Education Next Type: main |
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