White House Promotes New School Choice Tax Credit
The White House has unveiled a new webpage, complete with a map of the U.S., highlighting states that haven’t opted into the federal school choice tax credit set to launch in 2027. The announcement also mentions several Democratic governors as those who have opposed the program, leading to some branding them as “failed.”
The website argues that “President Trump is lowering education costs for American families, but children in your state won’t benefit unless your governor takes action.” It also states that the Working Families Tax Cuts and Jobs Act will provide parents financial assistance when choosing schools that best suit their children—whether that be private, charter, or public.
The Trump administration is actively encouraging states to “opt in” to a new federal K-12 scholarship tax credit, created under the “Big and Beautiful Act.” They warn that families may miss out if their governors do not participate. As of now, the Department of Education claims that 23 states are involved, calling this initiative “the largest expansion of educational freedom in history,” which allows more affordable options for families.
Meanwhile, in Houston, school districts are trying to retain parents as they lose students to school choice alternatives. The Education Freedom Tax Credit allows taxpayers to retrieve up to $1,700 in federal tax credits by contributing to approved scholarship-granting organizations (SGOs) instead of paying income taxes. These SGOs can then turn these donations into scholarships and educational support for various schooling costs.
“Starting January 1, 2027, Americans can reduce their tax burden by donating to approved scholarship-granting organizations,” the website explains. If governors prevent their states from participating, families could miss out on potential scholarships. “Your voice is vital in helping governors realize their duty to ensure that every family can access the best educational options tailored to their child’s specific needs,” it urges.
Governors named as resisting the plan include Tina Kotek of Oregon, Josh Stein of North Carolina, Michelle Lujan Grisham of New Mexico, and Tony Evers of Wisconsin.
The newly released webpage also features a map indicating which states have opted in and which have not, coinciding with National School Choice Week, running from January 25th to January 31st. The Department of Education is notably ramping up its advocacy for school choice during President Trump’s second term. This includes a significant $500 million investment in charter schools, backing the Education Freedom Tax Credit, and promoting the use of federal funds to enhance parent choice and improve underperforming schools.
In his second term, President Trump has prioritized school choice and parental rights, aiming to lessen federal oversight of public education and return more autonomy to states and families. “I want every parent in America to have the power to send their child to a public, private, charter, or faith-based school,” Trump stated in 2025, emphasizing his commitment to universal school choice and ensuring parents have that right as educational control shifts back to the states.
