Pictured: Academic tutoring is among the educational expenses that scholarships could help cover through the new Education Freedom Tax Credit. Provided photo.

Beginning January 1, 2027, Sarasota County taxpayers will have a new opportunity to support students while reducing their federal income taxes. What makes this particularly exciting is that our local K-12 public school students can benefit, too. Yet surprisingly few people know about this opportunity.

Sarasota County has a long history of investing in education. Our residents, businesses, and philanthropic organizations consistently step forward to support students and educators. We've seen firsthand what happens when students receive the right support at the right time. This new federal tax credit offers another way to make that possible.

The Education Freedom Tax Credit, signed into federal law in July 2025, allows taxpayers to make charitable contributions to approved Scholarship Granting Organizations (SGOs) and receive a dollar-for-dollar federal income tax credit of up to $1,700. Married couples filing jointly may qualify for up to $3,400 combined. Unlike a charitable deduction, which reduces taxable income, this credit directly reduces federal income tax liability, subject to certain limitations.

Florida has opted into the program, making it available to taxpayers beginning in 2027.

While much of the national conversation surrounding education scholarships has centered on private school choice, this program also creates opportunities for students attending public schools. I believe that deserves more attention.

Consider a student attending one of our Sarasota County public schools. Her family works hard to make ends meet, but additional educational expenses can quickly become a financial burden. Whether it's academic tutoring, technology, school supplies, or other qualifying educational needs, these costs can create barriers that prevent her from fully participating and succeeding. Scholarships funded through this program could help close those gaps without requiring her or any student to leave their public schools.

The legislation allows scholarships for eligible students whose families earn up to 300% of area median income. That threshold could make this opportunity available to a significant number of Sarasota County families, including many who may not qualify for traditional assistance but still struggle with educational expenses.

So how does it work?

Approved Scholarship Granting Organizations receive charitable contributions, verify student eligibility, and distribute scholarships for qualifying educational expenses. These organizations play an important role in ensuring resources reach students and families.

As a locally rooted nonprofit committed to student success, the Education Foundation of Sarasota County sees tremendous potential in this opportunity. We are exploring options to establish an SGO as a locally focused program to support eligible students attending Sarasota County public schools, including charter schools.

Our goal is to build on our relationships with schools, families, and community partners to help students overcome financial barriers to educational success.

Florida is working through its process for identifying qualified SGOs, with its initial list due to the IRS by February 15, 2027. As federal guidance and our plans take shape, we will share updates about what this opportunity means for Sarasota County students, families, and donors.

For now, I hope Sarasota County residents will take time to learn about this opportunity and consider how it might fit into their charitable giving plans. A conversation with a tax advisor is a good place to start.

Sarasota County has always recognized the value of investing in students. This new federal tax credit gives us another opportunity to do just that, and I hope our community takes full advantage of it.

Jennifer Vigne is the President and CEO of the Education Foundation of Sarasota County and host of the podcast Education Conversations.

Pictured: Academic tutoring is among the educational expenses that scholarships could help cover through the new Education Freedom Tax Credit. Provided photo.