Oklahoma Implements Federal Education Freedom Tax Credit for Scholarship Donations
Oklahoma has enacted House Bill 3704, allowing residents to benefit from the federal Education Freedom Tax Credit. This legislation, authored by Rep. Denise Crosswhite Hader, enables Oklahomans to receive a federal income tax credit for contributions to scholarship granting organizations (SGOs). The funds are intended for scholarships covering elementary and secondary education expenses. The bill aligns with the federal One Big Beautiful Bill Act, signed into law by President Trump, which offers a tax credit of up to $1,700 per individual or $3,400 for joint filers. The tax credit is available for donations to state-approved, federally recognized nonprofits that provide private-school scholarships to eligible children. Oklahoma is one of 27 states that have opted into this program, which will take effect on January 1, 2027.