Overview
- Gov. Kathy Hochul’s office confirmed she intends to opt the state into the new federal scholarship tax credit, with a review for possible poison pills before the opt-in becomes official.
- The program lets taxpayers claim a dollar-for-dollar federal credit up to $1,700 for donations to approved scholarship groups that help cover private-school tuition, tutoring, and related services.
- Treasury and the IRS are still drafting rules that will set key details, including whether states can bar discriminatory scholarship groups and how the program interfaces with public-school oversight.
- Supporters such as the American Federation for Children and religious-education advocates hailed expanded options for families, while teachers unions and other critics warned of risks to public education.
- Hochul first shared the plan at a private meeting with Agudath Israel, and if New York proceeds after federal guidance is issued, the first tax-credited donations are scheduled to start in 2027.