Senator Hyde-Smith Introduces Legislation to Enhance Federal Education Scholarship Tax Credit
U.S. Senator Cindy Hyde-Smith (R-Miss.) has introduced S.5322, the Federal Tax Credit Scholarship Improvement Act, aimed at strengthening an existing federal education scholarship tax credit. The proposed legislation seeks to make the Federal Scholarship Tax Credit (FSTC), also known as the Education Freedom Tax Credit, more attractive to private contributors by indexing it to inflation and allowing married couples filing jointly to claim up to twice the individual tax credit amount. Currently, individual taxpayers can claim a federal income tax credit of up to $1,700 annually for contributions to qualified K-12 scholarship-granting organizations. Senator Hyde-Smith emphasized that Mississippi is a state committed to education freedom, and her bill intends to expand educational opportunities without creating new federal spending programs. The FSTC, established under the Working Families Tax Cuts Act, supports K-12 educational expenses including private school tuition, public school supplemental costs, acad... 
