State tax credit cap reached for K-12 scholarship donations
INDIANAPOLIS – State tax credits available for K-12 tuition through Indiana’s Tax Credit Scholarship Program maxed out on Tuesday.
Credits are currently capped at $7.5 million but will go up over the next two years to $8.5 million and $9.5 million, respectively.
The program is funded by private donations.
“This year Hoosiers donated $15 million of their own money to help families exercise school choice,” said Institute for Quality Education President Betsy Wiley in a statement. “This is a powerful statement about the support for school choice in Indiana, and the desire of our parents to see that their child receives a high quality education that meets their individual needs.”
Families must meet income guidelines to be eligible for the scholarships. Donors receive a state tax credit worth half of their donation. The program was started in 2010. The Institute for Quality Education is one of five approved Scholarship Granting Organizations in Indiana. Last year, more than 11,000 scholarships were given to Hoosier students from the groups.
“We are thrilled by the continued growth of this program. Through the generosity of Hoosiers this year, our organization has granted 4,426 scholarships so far,” said Wiley in a statement. “Each one of those scholarships unlocks an opportunity that may not have existed otherwise.”
TheStatehouseFile.com is a news website powered by Franklin College journalism students.