Overview
- Gov. Brian Kemp signed the required IRS form on Jan. 20, formally enrolling Georgia in the federal tax-credit scholarship program that begins Jan. 1, 2027.
- Taxpayers may receive a dollar-for-dollar federal income tax credit up to $1,700 for contributions to recognized scholarship-granting organizations, with the federal credit reduced by any overlapping state credit.
- Participating SGOs must be 501(c)(3) nonprofits that devote at least 90% of revenue to scholarships, which can cover tuition and other eligible K-12 education expenses.
- Scholarships are limited to families earning under 300% of area median income, a threshold that would be just under $246,000 in metro Atlanta based on recent Census data.
- State leaders say the federal credit complements Georgia’s GOAL tax-credit program, while critics warn of diverted public education resources; Georgia’s separate Promise Scholarship enrolled about 7,700 students as officials propose returning $86 million in unspent funds after demand of roughly $55 million against a $141 million allocation.