Q. Does the tax credit hurt our public schools?
A. In short, the answer is no. The EFTC will only help provide more educational options and support for students attending public, private, and homeschool across the country.
Funding for the EFTC comes from citizens who can finally decide how their would-be tax dollars are spent. The EFTC funding has nothing to do with state educational funding for public schools. This program will give families the support and opportunity they need to access the education that is best for their children.
The EFTC, which passed in 2025 and goes into effect Jan. 1, 2027, allows federal income taxpayers to claim a dollar-for-dollar tax credit for contributions (up to $1,700) to qualified scholarship granting organizations (SGOs). Those SGOs must meet federal regulations and be approved by the state in which they operate. Then those SGOs use funds generated by tax credit contributions to provide scholarships for K-12 students receiving public, private, and homeschool education.
That’s right—even kids attending public schools and being homeschooled will benefit from the EFTC. SGOs can use funds to help families with tuition and enrollment fees, tutoring and supplemental instruction, curriculum materials, and other qualified education expenses. This additional educational support and opportunity can only improve the experience of our kids and families, giving them access to what they need to thrive.Since Nebraska was the first state to opt-in to this new scholarship program, we can expect new SGOs to form to serve all types of students and all types of needs.
You may have already read about Opportunity Scholarships of Nebraska (OSN), which partners with Catholic, Lutheran, and independent nonpublic schools across the state to award tax credit funded tuition scholarships. OSN, which has existed since 2023 and helped implement the state’s school choice programs, is already working to spread the word about the new federal tax credit. To learn more and to sign up for updates, visit nebraskaopportunity.org.
This question was answered by Lauren Gage, director of marketing and outreach at Opportunity Scholarships of Nebraska. Write to Ask the Register using our online form, or write to 3700 Sheridan Blvd., Suite 10, Lincoln NE 68506-6100. All questions are subject to editing. Editors decide which questions to publish. Personal questions cannot be answered. People with such questions are urged to take them to their nearest Catholic priest.
