Keep Public Funds in Public Schools

Summary#

This bill would change the Internal Revenue Code by removing two tax provisions related to private scholarship programs. It strikes section 25F, which provides a tax credit for individual contributions to scholarship granting organizations. It also strikes section 139K, an exclusion from gross income related to amounts tied to those programs. The bill says these changes apply to taxable years ending after December 31, 2026, and that the income exclusion removal applies to amounts received after that date. The bill was introduced in the House and referred to the Committee on Ways and Means.

What it means for you#

• If you claim a federal tax credit for donating to a scholarship granting organization under section 25F, that credit would be eliminated for taxable years ending after December 31, 2026.
• If you receive amounts that were excluded from gross income under section 139K, that exclusion would be removed for amounts received after December 31, 2026, in taxable years ending after that date.
• The text of the bill itself does not provide additional details about how taxpayers, organizations, or schools should report or adjust other filings.

Expenses#

No publicly available information on budgetary effects or cost estimates is included in the bill text or metadata provided.

Proponents' View#

No publicly available information in the bill text describes proponents' detailed arguments. The bill's short title is "Keep Public Funds in Public Schools Act of 2026," and it was introduced by Representative Gwen Moore and many cosponsors listed in the bill metadata.

Opponents' View#

No publicly available information in the bill text or metadata describes opponents' detailed arguments or critiques of the bill.