More states are application tax break to incentivize donations to clandestine academy scholarship programs, and a new Government Accountability Office address yzes what affectionate of acceptance and donors account from these programs.
Tax-credit scholarships are the lesser-known cousins to academy vouchers and are additionally a advantaged action of Education Secretary Betsy DeVos. Not alone has DeVos been a adept apostle for tax-credit scholarships at the accompaniment level, she has additionally pushed for creating a agnate affairs at the federal level.
In a archetypal tax-credit scholarship program, a accompaniment uses acceptable tax break to incentivize businesses or individuals to accord to groups that accommodate scholarships to acceptance to appear clandestine schools. In accession to rerouting tax dollars to clandestine schools, the programs accept been arguable for the tax allowances they create. Donors in some cases can abate the bulk they pay in taxes beneath what they donated to the scholarship affairs in the aboriginal place.
However, that all ability change beneath a new aphorism proposed by the Treasury Department and the IRS. Tax-credit scholarships accept been swept into a showdown over the new GOP tax law amid dejected states and the Trump administration.
At the appeal of Sens. Patty Murray, D-Wash., Ron Wyden, D-Ore., and Sheldon Whitehouse, D-R.I., the GAO advised 22 tax-credit scholarship
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