New York opts in as states divide over school choice tax credit
Treasury and IRS have proposed rules for the Education Freedom Tax Credit, which lets states opt in to fund scholarships. New York has opted in while other states, including Connecticut, are weighing the same decision.
By Standard Topic. AI-generated from the reporting listed under Coverage. Published . Updated .
What happened
The federal Education Freedom Tax Credit, aimed at families paying for private school tuition, tutoring, or services for children with special needs, is letting states decide whether to join, and they are split. Education Secretary Linda McMahon has now publicly urged Washington to sign on, which has sparked debate over how public education is funded.
Why it matters
One opinion piece argues the provision could direct more than $270 billion a year into the educational system. The debate centers on how public education funding should work.
Timeline
- Oct 18, 1:00 AM ET: New York Gov. Kathy Hochul opted the state into the federal Education Freedom Tax Credit program.
- Oct 18, 6:55 PM ET: The U.S. Treasury Department and the IRS released proposed rules for the credit.
- Oct 19, 8:05 AM ET: Reports said states remain divided over the first federal education tax credit for school choice.
- Oct 19, 8:23 PM ET: U.S. Education Secretary Linda McMahon urged Washington to adopt the new tax credit program.
Coverage
- Can the new federal voucher program help public schools? Democrats are torn (NPR)
- U.S. Education Secretary urges Washington to adopt new education tax credit program (krem.com)
- States are divided over first federal education tax credit for school choice (wbur.org)
- Opinion: CT can opt to help students through a new federal tax program (ctmirror.org)
- Treasury, IRS release proposed rules for Education Freedom Tax Credit (A.P. Dillon)
- If New York Can Do School Choice Scholarships, So Can Illinois (realcleareducation.com)
- McMahon presses Washington's governor to join federal tax credit
- States opt into federal school choice programs
- Washington's schools chief opposes new federal school tax credit
- States weigh federal K-12 scholarship tax credit as Washington governor faces pressure
- States weigh opting into federal school tax credit as Washington resists
- New York joins federal scholarship tax credit as states debate it
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