Tax credits for scholarship donors

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COLUMBUS – On Monday, State Senator Matt Huffman (R-Lima) was joined by U.S. Assistant Secretary of Elementary and Secondary Education Frank Brogan for a press conference announcing legislation to set up a system to offer tax credits to individuals who make donations to scholarship granting organizations (SGOs).

Senate Bill 199 would allow Ohio to take advantage of the proposed Education Freedom Scholarship Program announced earlier this year by the U.S. Department of Education. The proposed plan is currently being considered by Congress.

The Education Freedom Scholarships proposal creates a $5 billion annual federal tax credit for businesses and individuals who voluntarily donate to scholarship granting organizations (SGOs).

If passed by Congress, individual states could then take advantage of SGOs, allowing Ohio families to choose the right education option for their elementary and secondary students, which could be an independent or faith-based private school or a home education.

“Through the SGOs and no cost to the tax payer, Ohio families could take advantage of pursuing an education that best meets the needs of their children,” said Huffman. “I am hopeful Congress will soon pass the Education Freedom Scholarships, giving states the opportunity to enact these programs.”

“I am proud of Ohio. Ohio continues to increase educational outcome derivatives while also putting greater emphasis on the strength of freedom for Ohio families to choose how their children are educated,” said Assistant Secretary Brogan.

State Senator Matt Huffman announced legislation establishing tax credits for scholarship donations.
https://www.dailyadvocate.com/wp-content/uploads/2021/08/web1_matt-huffman-legislation-w.jpgState Senator Matt Huffman announced legislation establishing tax credits for scholarship donations. Courtesy photo

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