Florida opts into federal tax credit to expand school choice

On Jan. 28, Florida Gov. Ron DeSantis announced that the Sunshine State will opt into the Federal Education Freedom Tax Credit, signaling to the rest of the nation that real education reform is both possible and empowering. Florida’s decision to participate in this federal tax credit scholarship program is a natural extension of its long-standing leadership in school choice.

Florida isn’t starting from scratch  —  it’s building on success.

At the federal level, the Education Freedom Tax Credit creates a straightforward incentive: taxpayers can contribute to scholarship-granting organizations and receive a dollar-for-dollar tax credit of up to $1,700. With this opt-in, Floridians can redirect a portion of their tax liability to support educational opportunities for K-12 students, rather than sending those dollars into the general Treasury. These scholarship funds can be used for tuition, tutoring, technology, supplies, and other education-related expenses.

The Federal Education Freedom Tax Credit program, launching on January 1, 2027, brings new opportunities to Florida families. By aligning federal incentives with Florida’s existing education choice infrastructure, the program expands access while reinforcing a system that is already delivering results.

Joining a coalition of roughly two dozen states, Florida is building on the strong foundation the state has laid for the future of school choice. In 2023, the state expanded education choice to a universal model, making every K-12 student eligible for scholarship programs regardless of income. That decisiveness matters. Today, 53% of Florida’s students participate in some form of school choice — whether through charter schools, private schools, education savings accounts, or home education.

This federal opt-in doesn’t reinvent Florida’s education landscape. It strengthens it.

And the results are evident: Florida consistently ranks at the top of multiple education freedom indices. Florida’s long-standing Tax Credit Scholarship program has demonstrated that public-private partnerships can expand opportunity without dismantling public education. The Federal Education Freedom Tax Credit operates on a similar principle: voluntary contributions, incentivized through tax credits, directed to scholarship-granting organizations that support families directly.

By giving taxpayers the ability to direct part of their tax dollars toward scholarships that benefit students directly, this tax credit flips the old script of top-down education policy. This approach gives families decision-making power over what matters most: the right learning environment for their child’s success.

The Federal Education Freedom Tax Credit opt-in is a template for how others can expand educational opportunities without increasing public spending. The program affirms that when we center education policy on the needs of students and parents, rather than on institutions, everyone benefits, offering a refreshing alternative grounded in opportunity, choice, and results. Florida’s example demonstrates that embracing education freedom does not mean abandoning public education. It means broadening the definition of public purpose — ensuring that every child, regardless of ZIP code or learning style, has access to an education that works for them.

Florida’s choice architecture — scholarships, education savings accounts, charter school growth, and parental rights policies — created a framework flexible enough to integrate new federal opportunities seamlessly, while also encouraging philanthropy and community investment in education.

For families seeking better options, for students with specialized needs, and for taxpayers who want greater agency over how their dollars are used, this opt-in represents real empowerment. When reform is grounded in parental trust, transparent accountability, and steady expansion – rather than sudden overhaul – it can produce durable change.

Florida isn’t starting from scratch — it’s building on groundbreaking success. And, in doing so, it offers a blueprint for the nation.

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Jenna Collins is an intern at the James Madison Institute and a Master of Public Administration and Policy candidate at Florida State University, focusing on public sector leadership and policy analysis.