The Treasury Department is preparing to allow married couples to count as two taxpayers when claiming a new federal tax credit for donations to school-choice programs, potentially increasing the benefit available to families and donors.
The change could substantially broaden the credit’s reach by doubling the amount some joint filers are permitted to claim.
The provision is tied to a recently created school-choice incentive designed to encourage donations that support scholarships for students attending private schools.
Treasury’s interpretation may affect how states, nonprofit scholarship organizations and taxpayers structure contributions and claim the credit.
Supporters say the policy could direct more private funding toward educational options outside traditional public schools.
Critics are likely to question whether the expanded tax break primarily benefits higher-income households and reduces federal revenue.
The department’s guidance is expected to clarify eligibility rules, contribution limits and how the credit will interact with existing state and federal tax provisions.