Impact of Federal Tax Credit on New York Schools

Governor Kathy Hochul made headlines in May with her decision to participate in the One Big Beautiful Bill’s tax credit for Scholarship Granting Organizations (SGOs) in New York State. This program allows taxpayers to receive a credit of up to $1,700 when they donate to SGOs. These organizations use the funds to offer scholarships, tutoring, and other educational activities for families earning up to 300 percent of the median income in their area.

This initiative aims to benefit families without imposing costs on the state. It alleviates financial burdens for those seeking educational support, enhancing opportunities without affecting existing public school funding.