Tag: private schools
Legislation in the Alabama State House would increase the allowable tax credit for individuals and corporations that donate to private school scholarships through the Alabama Accountability Act.
The 2013 law allows for tax credit-funded scholarships for families leaving the state’s lowest-performing public schools. There also is a separate $30 million-per-year scholarship fund for private school tuition. Businesses and individuals who donate to the fund receive income tax credits — money that would otherwise go to the state education budget. Scholarship granting organizations, or SGOs, collect and distribute the money to low-income families. Those students are not required to come from failing schools.
House Bill 559 by Rep. Charlotte Meadows, R-Montgomery, does not change that $30 million cap but expands the allowable credit from 50% of an individual’s tax burden to 75%, capped at $75,000. Read more.