Illinois House Republicans say Gov. J.B. Pritzker has not opted the state into a new federal tax credit scholarship program.
The Education Freedom Tax Credit is a federal initiative that offers dollar-for-dollar tax credits for private charitable contributions to K-12 scholarship funds. Taxpayers in any state can claim the federal credit, but scholarship funds can only be distributed to students in states that officially opt into the program.
The Trump administration has released proposed Treasury regulations clarifying how the program will operate beginning in 2027. House Republicans say it is time for the governor to opt in on behalf of Illinois students.
According to the caucus, four of Illinois' neighbors have opted in. If Pritzker opts Illinois in, donated money would flow to eligible Illinois students. If he does not, Illinois donors could still claim the federal tax credit by contributing to qualifying scholarship-granting organizations in participating states such as Indiana, but Illinois students could not receive any of the donated money.