Frequently Asked Questions

A federal tax credit reduces what you owe in federal taxes; a state tax credit reduces what you owe in state taxes. Depending on where you live, you may be able to take advantage of both. 

Any citizen or eligible resident of one of the 50 U.S. states or Washington D.C., with a federal tax liability can participate in the federal Education Freedom Tax Credit. If you have a state tax liability in Alabama, Missouri, Pennsylvania, Rhode Island, or Virginia, visit our state pages for details specific to your state.

It is ACSI Children’s Tuition Fund’s participation platform for Education Freedom Tax Credit.

You can redirect up to $1,700 you already owe in federal taxes into a scholarship for Christ-centered education, at no additional cost to you.

Created by the One Big Beautiful Bill Act, signed July 4, 2025, this federal tax credit lets you redirect up to $1,700 in federal tax liabilities to fund scholarships for students in grades K-12, starting in 2027. 

The credit becomes available for contributions made on or after January 1, 2027.

Up to $1,700, redirected in full toward student scholarships, depending on eligibility.

State opt-in affects whether students in that state can receive scholarships, it does not affect your ability to contribute. You can redirect your federal taxes regardless of where you live. If your state hasn’t opted in yet for scholarships, you can still make your voice heard, visit the Redirect My Taxes federal page to learn how.

Children’s Tuition Fund currently operates state tax credit programs in Alabama, Missouri, Pennsylvania, Rhode Island, and Virginia.

Yes. Each state program is entirely separate from the federal tax credit, with its own administering office, recipients, deadlines, and contribution caps. CTF can help you navigate both. 

Reach out to your school directly to confirm participation or contact CTF and we can help you find out. 

For more information, visit our state page, select whether you’re a contributor, school, or parent, and choose your state from the dropdown menu to find details specific to you. 

Yes. We recommend consulting your tax advisor to confirm how this credit fits your specific situation.

No, this opportunity is currently limited to individuals.

No. To participate in both, you’ll need to make a separate contribution for each credit. The law doesn’t allow one contribution to count toward both the state and federal credit.

Students eligible to enroll in an eligible elementary or secondary school, whose family’s adjusted gross income is below 300% of their area’s median income, per Housing and Urban Development (HUD) regulations.

We encourage you to reach out to your school and encourage them to participate. Let them know the Children’s Tuition Fund is a trusted SGO with 20+ years of experience serving Christian schools and families. Our business development team is happy to help. Contact us at CTF_School@acsi.org, and we’ll connect directly with your school.

If you’re ready to register your Christian school with us, go to this link and complete the registration form. If you would like to speak to someone at CTF, please reach out to us at CTF_School@acsi.org. We’ll walk you through every step, so all your questions are answered before you sign on. 

CTF is responsible for most of the program’s marketing and administration for your school. CTF will provide your school with high-quality marketing materials, including scripts for meetings; templates for websites and social media posts, letters, and flyers; and a customized school giving portal. CTF is also responsible for contributor and scholarship administration, including providing contributors with receipts and required tax documentation; ensuring compliance with all state and federal requirements; working with your school on scholarship awards and disbursements; confirming family income eligibility and awarding scholarships to students.  
 
Your school will solicit your constituents to contribute to CTF, with scholarship dollars dedicated to your students. Your school will also work with CTF to review scholarship awards while considering other scholarship rewards, to maximize the amount of scholarship dollars available for your students.

There is no upfront cost to your school. CTF retains a 10% administrative fee from contributions  received on your school’s behalf – permitted by the federal legislation –which covers the marketing, technology, operations, compliance, and processing costs required to keep the program running smoothly. Each fall, CTF is committed to sending your school undesignated funds equal to at least 3.0% of the contributions received on your school’s behalf, to use as you see fit.

The partnership begins right away. You’ll receive a welcome kit and begin working with an operations specialist to onboard your school; including establishing scholarship parameters, setting up your customized web portal, and providing the marketing materials your school needs.

Your relationship for all scholarship granting activities will be with the Children’s Tuition Fund.  While a separate 501(c)(3) organization, CTF is an affiliate entity of ACSI, with a common board of directors and combined mission in supporting Christian education.  ACSI provides certain services to CTF, such as accounting, human resources, and technology support.