The Indiana School Scholarship Tax Credit Program (IN-SSTC) allows individuals and corporations to receive a 50% Indiana state tax credit on qualifying donations to approved SGOs, as provided under Indiana Code IC 6-3.1-30.5. These SGOs fund scholarships for eligible Indiana students in Pre‑K through grade 12 at participating accredited non-public schools. SGO Scholarships may be used to pay the cost of tuition and expenses in the school year for which the scholarship is granted. (IC 20-51-1-8)

Beginning January 1, 2027, individual donors may also qualify for a Federal Scholarship Tax Credit (FSTC) of up to $1,700 per taxpayer ($3,400 married filing jointly) for contributions to participating federal SGOs, authorized under Internal Revenue Code (IRC) § 25F. The FSTC may support K–12 students across traditional public, charter, non-public, and homeschool settings, with funds available for qualifying expenses such as tuition, fees, special education services, books, supplies, technology, tutoring, before‑ and after‑school programs, and other federally allowable expenses. IRC § 25F(d)(1)

Together, Indiana's state tax credit and the new federal tax credit expand opportunities for families by increasing resources available to support K–12 student learning.

IDOE will serve as Indiana's operational lead for SGO certification, monitoring, and development of the annual SGO list. (IC 20-51-3-1)

IC 6.-3.1-30.5-3 and IRCode §25F refer to a "Scholarship Granting Organization" as an organization that is exempt from federal income taxation under IRC § 501(c)(3), conducts a school scholarship program without limiting the availability of scholarships to students to only one participating school. Certified SGOs will be included on the list of SGOs submitted to the US Department of the Treasury of the United States, the Indiana Department of Revenue and posted on the Indiana Department of Education’s website.

Acknowledgements of the Scholarship Granting Organization

The Department of Education may, in a proceeding under IC 4-21.5, suspend or terminate the certification of an organization as a scholarship granting organization if the Department establishes that the scholarship granting organization has intentionally and substantially failed to comply with the requirements of IC 6-3.1-30.5, IC 20-51, 512 IAC 3, IRC §25F, or this agreement. IC 20-51-3-8

If the Department suspends or terminates the certification of an organization as a scholarship granting organization, the Department shall notify affected eligible students and their parents of the decision as quickly as possible. IC 20-51-3-9

The Department may conduct either a financial review or an audit of a scholarship granting organization certified under this chapter if the Indiana Department of Revenue or US Department of the Treasury has allegations of fraud. IC 20-51-3-10

Acknowledgments of the Department of Education

An eligible student affected by a suspension or termination of a scholarship granting organizations certification remains an eligible student under IC 20-51 until the end of the school year after the school year in which the scholarship granting organization's certification is suspended or terminated, regardless of whether the scholarship student currently meets the definition of an eligible student. IC 20-51-3-9

The agreement entered into under IC 20-51-3-1 does not prohibit the scholarship granting organization from receiving contributions for purposes other than providing school scholarships to eligible students. IC 20-51-3-4

Cancellation

The Department may cancel this agreement and terminate certification upon ten (10) days' written notice to the Scholarship Granting Organization if there is a substantive change in the statute or rules governing scholarship granting organizations or scholarship granting programs.

The Scholarship Granting Organization may cancel this agreement and voluntarily rescind its certification upon ten (10) days' written notice to the Department. Upon cancellation under this section, the Department may request a final financial audit of the scholarship granting organization.

Certification of Scholarship Granting Organization (IC 20-51-3-2)

I certify, under penalties of perjury pursuant to IC 35‑44.1‑2‑1, that all information, documentation, and statements submitted as part of this Scholarship Granting Organization (SGO) certification are true, complete, and accurate to the best of my knowledge.

• The SGO attests that they are complying with all state and federal laws of the program.
• The SGO attests that they will submit all requested data, reports and financial audit to IDOE by the required deadlines.

• The SGO attests the understanding that providing false, fictitious, incomplete, or misleading information—or failing to meet statutory obligations—may result in suspension or termination of SGO certification and referral to appropriate authorities.