Governor Hochul signs New York onto federal school-choice tax credit program
New York Governor Kathy Hochul joined the federal Education Freedom Tax Credit, letting taxpayers claim up to $1,700 for donations to scholarship groups, despite teachers-union opposition.
Governor Kathy Hochul added New York to the Education Freedom Tax Credit, a federal initiative that provides a $1,700 tax credit for individuals who donate to private, nonprofit scholarship-granting entities. The policy, introduced during the Trump administration, aims to expand school-choice options, but teachers unions quickly organized a petition urging Hochul to reject it, claiming it would favor private-school tuition over public-school funding.
Hochul defended the decision, stating she cannot forgo money that could aid students and will collaborate with education officials to ensure the credit benefits public-school learners. She emphasized her continued commitment to public education, noting recent investments exceeding $10 billion. The credit program is scheduled to launch on January 1, 2027.
Why it matters
The decision could shift education funding toward private scholarships, affecting public-school resources and union influence.
How this story developed
- Oct 1 Federal tax-credit scholarship program to fund private school and homeschooling in over 30 states
- Oct 9 Treasury Department released proposed regulations for the Education Freedom Tax Credit.
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