27 States Sign Up for Federal Scholarship Tax Credit Program

The IRS in Washington on Jan. 6, 2026. Madalina Kilroy/The Epoch TimesThe IRS announced on Monday that 27 states have formally opted to take part in the Federal Scholarship Tax Credit (FSTC) program enacted under the One Big Beautiful Bill.FSTC allows eligible individual taxpayers to claim tax credits for up to $1,700 in certain cash contributions they make to Scholarship Granting Organizations (SGO). SGO charities grant scholarships to help students pay for elementary and secondary education expenses.