Is there a federal tax credit for homeschool families?
Asked by families. Answered by Peabody editors from the sources below.
Under 26 U.S.C. 25F, from 1 January 2027 donors who give to approved scholarship groups get a federal tax credit of up to $1,700, in states that opt in. The IRS lists 30 states as of 22 October 2026. Whether scholarships can pay homeschool costs is not settled: the October 2026 proposed rules count an expense only if tied to a school as state law defines it.
Checked October 29, 2026.
This is a plain-words summary, not legal or tax advice. Rules change: check the current law and the program's own pages before you count on any money.
Where to read more
Read the full page: The federal scholarship tax credit and homeschool.
Sources
- 26 U.S.C. 25F, the federal scholarship tax credit (Cornell Legal Information Institute) (checked October 29, 2026)
- IRS: Federal Scholarship Tax Credit (FSTC), page updated 23 Oct 2026 (checked October 29, 2026)
- IRS: FSTC participating states, list as of 22 Oct 2026 (checked October 29, 2026)
- Federal Register: Federal Scholarship Tax Credit, proposed rules REG-117199-25 (published 2 Oct 2026) (checked October 29, 2026)