H.F. 2308 Section 1. SCHOLARSHIP GRANTING PROGRAM. 1 1. The governor shall elect to participate in the federal 2 tax credit established by section 25F of the Internal Revenue 3 Code for individuals who make qualified contributions to 4 scholarship granting organizations. 5 2. The department of revenue and the department of education 6 shall follow all federal laws and regulations to administer the 7 federal tax credit established by section 25F of the Internal 8 Revenue Code to ensure the state is eligible to participate 9 in tax years beginning on or after January 1, 2027, and shall 10 annually submit all required information to the secretary of 11 the treasury of the United States for participation. 12 EXPLANATION 13 The inclusion of this explanation does not constitute agreement with 14 the explanation’s substance by the members of the general assembly. 15 This bill relates to participation in the federal tax 16 credit program for individual contributions to scholarship 17 granting organizations. A scholarship granting organization 18 is a nonprofit entity that provides scholarships to eligible 19 elementary and secondary school children attending a nonpublic 20 school. 21 The bill requires the governor to elect to participate 22 in the federal tax credit established by section 25F of the 23 Internal Revenue Code (IRC). The bill requires the department 24 of revenue and the department of education follow all federal 25 laws and regulations to administer the federal tax credit 26 established by section 25F of the IRC to ensure the state is 27 eligible to participate in tax years beginning on or after 28 January 1, 2027, and shall annually submit all required 29 information to the secretary of the treasury of the United 30 States for participation. 31 A scholarship granting organization may provide scholarships 32 to eligible students in the amount of $1,700 per year for any 33 qualified elementary or secondary school expenses to the extent 34 allowed by federal law. 35 -1- LSB 6112YH (3) 91 jm/jh 1/ 1