By Laura Hancock
cleveland.com
(TNS)
COLUMBUS, Ohio – Eighteen states offer tax credits similar to what Ohio offers for donations to organizations that provide tuition scholarships to students, primarily benefiting private school families.
According to the National Conference of State Legislatures, most states began offering tax credits for donating to scholarship granting organizations since the turn of the century.
The Ohio General Assembly established income tax credits for donations to scholarship granting organizations in 2021 state budget bill.
The following are the other states that offer credits, according to the National Conference of State Legislatures:
- Alabama: Established in 2013
- Arizona: Established in 1998, with several bills expanding it since
- Arkansas: Est. in 2021
- Florida: Est. in 2018
- Georgia: Est. in 2008
- Indiana: Est. In 2009
- Iowa: Est. in 2006
- Kansas: Est. in 2016
- Louisiana: Est. in 2012
- Montana: Est. in 2015
- Nevada: Est. in 2015
- New Hampshire: Est. in 2012
- Oklahoma: Est. in 2011
- Pennsylvania: Est. in 2001 and has since expanded.
- Rhode Island: Est. in 2006
- South Carolina: Est. in 2018
- South Dakota: Est. in 2016
- Virginia: Est. in 2012
Ohio has lost more than $80 million in state revenue since launching its tax credit program, which adds another layer of public support for private schools on top of vouchers,
Seventy‑four scholarship granting organizations now operate statewide, up from seven in 2021, offering tuition help to students from low‑ and middle‑income families. The Angel Scholarship Fund alone has raised $19.6 million since 2022 for Catholic schools in Northeast Ohio.
Supporters say the credit expands access to private education. Opponents, including the Ohio Education Association, say it diverts money from public schools, which serve more than 80% of students, and primarily benefits families already in private schools.
The credits reduced state income tax collections by $21 million in fiscal 2024 and $23.1 million in 2025. They are projected to reach $24.3 million this year and $25.5 million by 2027.
Ohio already spends about $1 billion annually on vouchers.
Donors can receive up to $750 in state tax credits, or $1,500 for joint filers. A larger federal income tax credit is coming in 2027, included as part of the One Big Beautiful Bill Act that Congress passed last year.
Critics say SGOs are another voucher system at a time when lawmakers have scaled back increases to public‑school funding. More than 300 districts are suing the state, claiming vouchers are unconstitutional. Private‑school advocates say SGOs help families bridge tuition gaps and support school choice.
Photo credit: designer491/iStock
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©2026 Advance Local Media LLC. Visit cleveland.com. Distributed by Tribune Content Agency LLC.
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