Federal Scholarship Tax Credit (FSTC)

Federal Scholarship Tax Credit (FSTC) is sponsored by U.S. Department of the Treasury. Beginning January 1, 2027, U. S.

taxpayers can redirect a portion of their federal income tax to certified Scholarship Granting Organizations (SGOs), which will provide scholarships to students at participating Catholic schools.

A **. gov** website belongs to an official government organization in the United States.

# U.S. Department of the Treasury * Enter Search Term(s): Advanced Search * Terrorism and Financial Intelligence * Tribal and Native Affairs * Alcohol and Tobacco Tax and Trade Bureau (TTB) * Bureau of Engraving & Printing (BEP) * Financial Crimes Enforcement Network (FinCEN) * Bureau of the Fiscal Service (BFS) * Internal Revenue Service (IRS) * Office of the Comptroller of the Currency (OCC) ### BUDGET, FINANCIAL REPORTING, PLANNING AND PERFORMANCE * Budget Request/Annual Performance Plan and Reports * IRS Strategic Operating Plan * Freedman's Bank Building * Top 10 Reasons to Work Here * The Fair Chance to Compete Act * Treaties and Related Documents * Foreign Account Tax Compliance Act (FATCA) * Corporate Bond Yield Curve * Economic Policy Reports * Social Security and Medicare * Total Taxable Resources ### TERRORISM AND ILLICIT FINANCE * Terrorist Finance Tracking Program * Financial Action Task Force * Protecting Charitable Organizations ### FINANCING THE GOVERNMENT * Treasury Quarterly Refunding * Interest Rate Statistics * Debt Management Research ### FINANCIAL MARKETS, FINANCIAL INSTITUTIONS, AND FISCAL SERVICE * Cash and Debt Forecasting * Financial Stability Oversight Council * Federal Insurance Office * The Community Development Financial Institution (CDFI) Fund * Office of Capital Access * Specially Designated Nationals List (SDN List) * Consolidated Sanctions List * Search OFAC's Sanctions Lists * Additional Sanctions Lists * Sanctions Programs and Country Information * Frequently Asked Questions * OFAC Civil Penalties and Enforcement * Financial Literacy and Education Commission * Innovations in Financial Services * The Committee on Foreign Investment in the United States (CFIUS) * Outbound Investment Security Program * Exchange Stabilization Fund * International Monetary Fund * Multilateral Development Banks * Macroeconomic and Foreign Exchange Policies of Major Trading Partners * U.S.-China Comprehensive Strategic Economic Dialogue (CED) ### SMALL BUSINESS PROGRAMS * Small and Disadvantaged Business Utilization * Small Business Lending Fund * State Small Business Credit Initiative * Daily Treasury Par Yield Curve Rates * Daily Treasury Par Real Yield Curve Rates * Daily Treasury Bill Rates * Daily Treasury Long-Term Rates * Daily Treasury Real Long-Term Rates ### TREASURY COUPON-ISSUE AND CORPORATE BOND YIELD CURVE * Corporate Bond Yield Curve ### FEDERAL FINANCIAL DATA * Your Guide to America’s Finances * Monthly Treasury Statement * Daily Treasury Statement ### HOW YOUR MONEY IS SPENT * National Debt to the Penny * Historical Debt Outstanding * Monthly Statement of the Public Debt * Debt Management Overview and Quarterly Refunding Process ### INVESTOR CLASS AUCTION ALLOTMENTS ### TREASURY INTERNATIONAL CAPITAL (TIC) SYSTEM * U.

S International Portfolio Investment Statistics ### U.S. INTERNATIONAL RESERVE POSITION ### TROUBLED ASSETS RELIEF PROGRAM ### OFFICE OF THE CHIEF DATA OFFICER ### REPORT FRAUD, WASTE & ABUSE * Report COVID-19 Scam Attempts * Report Fraud Related to Government Contracts * Buy, Manage, and Redeem * Treasury Hunt - Search for Matured Bonds * Cashing Savings Bonds in Disaster-Declared Areas * Frequently Asked Questions * Pay for Results (SIPPRA) * Community Development Financial Institution (CDFI) Fund * Non-Benefit Federal Payments * Electronic Federal Benefit Payments - GoDirect * Shop for Currency Products * Redeem Damaged Currency * Bureau of Engraving and Printing * General Property, Vehicles, Vessels & Aircraft ### KLINE-MILLER MULTIEMPLOYER PENSION REFORM ACT OF 2014 * Frequently Asked Questions ### WHISTLEBLOWING AND FINANCIAL INTEGRITY * Whistleblower Resources * Internal Revenue Service (IRS) * IRS Forms, Instructions & Publications * Foreign Account Tax Compliance Act * IRS Forms and Instructions * Savings Bonds - Treasury Securities * Bank Secrecy Act - Fincen 114 and more * OFAC License Application * Treasury International Capital (TIC) ### GOVERNMENT SHARED SERVICES * Treasury Franchise Fund (TFF) * Center for Financial Management (CFM) * Shared Services Program (SSP) * Financial Management (FM) Marketplace Catalog * Invoice Processing Platform * Historic Treasury Building * Bureau of Engraving and Printing * View all Featured Stories ### Remarks and Statements * View All Remarks and Statements * Weekly Public Schedule Archive * Media Advisories Archive * Whistleblower Resources * Working Families Tax Cuts * Whistleblower Resources * Working Families Tax Cuts Enter Search Term(s): Advanced Search Search * Government Contracting Small Business Contacts * Form 941, employer's quarterly federal tax return * Employer Identification Number (EIN) ## Financial Institutions * Specially Designated Nationals list * Interest rate statistics * Quarterly refunding information * Budget, Financial Reporting, Planning and Performance * TreasuryDirect for Government ## Treasury Previews Education Freedom Tax Credit Guidance **WASHINGTON**— The U.S. Department of the Treasury previewed forthcoming Treasury and IRS guidance for the implementation of the new federal scholarship tax credit enacted as part of the Working Families Tax Cuts.

“Under President Trump’s leadership, we are taking a transformative step toward an education system that fits the student rather than the other way around,” **said Treasury Secretary Scott Bessent**. “At Treasury, we take seriously the work of implementing this federal tax credit faithfully and effectively.

We are committed to providing certainty to states, scholarship-granting organizations, taxpayers, and families alike, as well as making certain that this process is easy to navigate. ” The forthcoming guidance is expected to provide states, scholarship-granting organizations, taxpayers, and other stakeholders with a clear path to prepare for the launch of the Education Freedom Tax Credit in January 2027.

Treasury expects to issue proposed regulations by the end of September. States, scholarship-granting organizations, and taxpayers are expected to be able to rely on those proposed regulations for tax year 2027. Treasury previewed the guidance during a roundtable with scholarship-granting organizations, education stakeholders, technology providers, state representatives, and other partners to discuss implementation of the new credit.

Deputy Assistant Secretary for Tax Policy Kevin Salinger outlined several key issues in the forthcoming guidance and his remarks are available here. The new scholarship tax credit under section 25F is intended to expand educational opportunity by encouraging private contributions to scholarship-granting organizations.

Participating States may opt in to the program and provide to the IRS a list of eligible scholarship-granting organizations located in their state. Scholarship-granting organizations that are included on one or more state SGO lists can receive qualified contributions from taxpayers and use those funds to provide scholarships for eligible students.

Taxpayers who make qualified contributions may claim a federal tax credit, subject to applicable statutory requirements and forthcoming Treasury and IRS guidance. The credit is designed to support scholarships for K–12 education expenses, helping families access educational options that meet their children’s needs.

Treasury and the IRS are developing proposed regulations to provide States, scholarship-granting organizations, taxpayers, and other stakeholders with clear rules for implementation, compliance, reporting, and program integrity ahead of the credit’s expected 2027 launch. The Education Freedom Tax Credit Fact Sheet is available here.

* Alcohol and Tobacco Tax and Trade (TTB) * Bureau of Engraving and Printing (BEP) * Bureau of the Fiscal Service (BFS) * Financial Crimes Enforcement Network (FinCEN) * Internal Revenue Service (IRS) * Office of the Comptroller of the Currency (OCC) * Report Scams, Fraud, Waste & Abuse ### U.S. Government Shared Services * Administrative Resource Center (ARC)- Bureau of the Fiscal Service * Treasury Direct Services for Governments * Financial Management (FM) Marketplace Catalog * Small Business Contacts * TreasuryDirect.

gov Securities/Bonds * Freedom of Information Act (FOIA) * Whistleblower Protection ### Other Government Sites * Site Policies and Notices Required Plug-ins Adobe® Reader®