Florida Joins Education Freedom Tax Credit in 2027: What It Means

• Author: Elizabeth Miller
• Posted: 2026-01-30

Starting in 2027, Florida taxpayers will be able to redirect up to $1,700 in federal taxes toward education scholarships after the state opted into the Education Freedom Tax Credit, Governor Ron DeSantis announced.

How the Education Freedom Tax Credit Works

The program allows taxpayers to claim a nonrefundable federal tax credit for donations made to approved Scholarship Granting Organizations (SGOs).

• Maximum credit: Up to $1,700

• Start date: Contributions begin January 1, 2027

• Who can use it: Taxpayers who owe federal income taxes

• Important limit: The credit is nonrefundable, meaning it can only reduce taxes owed, not create a refund

SGOs use these donations to provide education scholarships for families.

What Families Can Use the Scholarships For

Scholarship funds may be used for a range of education-related expenses, including:

• Private school tuition

• Tutoring services

• Books and learning materials

• Other approved educational costs

State officials say the credit is designed to supplement, not replace, Florida’s existing school choice programs.

Why Florida Opted In

The Education Freedom Tax Credit was created at the federal level in 2025, but states must opt in. Florida is now among 23 participating states.

Supporters say the program expands school choice without raising taxes, since it redirects money taxpayers already owe rather than using new public spending.

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