What You Need to Know About the New Federal Tax Credit Coming in 2027
A Game-Changer for Catholic Schools: What You Need to Know About the New Federal Tax Credit
with Brian Jodice, Press Secretary, American Federation for Children
with Brian Jodice, Press Secretary, American Federation for Children
đź“Ś Episode Summary:
In this must-listen episode, John Mihalyo welcomes back Brian Jodice—Catholic school dad, advocate, and Press Secretary for the American Federation for Children—to break down one of the most impactful pieces of legislation Catholic education has seen in decades: the new federal tax credit for K-12 scholarships.
This new tax code change, signed into law on July 4, 2025, creates a 100% federal tax credit that is permanent and uncapped, empowering donors and transforming access to Catholic education. Brian and John dig into what this means for dioceses, school leaders, families, and donors—and what needs to happen now to be ready by 2027.
If you’re a Catholic school leader, parent, pastor, board member, or superintendent, this episode equips you with everything you need to understand, advocate for, and act on this opportunity.
💡 What You’ll Learn:
- What the new Educational Choice for Children Act means and how it became law
- How the federal tax credit works and how it's different from state programs
- Who is eligible to receive scholarships under the new law
- What SGOs (Scholarship Granting Organizations) are—and how your diocese or school community can start one
- The importance of state opt-in and how to advocate for it
- Why this tax credit could support up to 85–90% of families
- What schools, dioceses, and families should be doing right now to prepare for 2027
- How Catholic schools can still retain their religious freedom and autonomy
- Why this is a moment of historic opportunity for Catholic education
🛠️ Practical Takeaways:
- School leaders: Start internal conversations, reach out to state reps, and explore SGO creation.
- Dioceses: Begin planning for coordination and leadership around implementation and donor education.
- Parents & Donors: Learn how to advocate, give, and prepare to take part in this program.
- Advancement Directors: Use this as a catalyst to build up your donor base and support strategic tuition assistance.
đź”— Resources Mentioned:
- 📄 Learn more: Federation for Children – National School Choice
- đź“° Follow Brian Jodice on X (Twitter): @AFCPress
- 📝 Sign up for John’s newsletter: elementaryadvancement.com/newsletter or email john@elementaryadvancement.com to get real-time updates on the tax credit and Catholic school strategy
Have questions about how this new tax credit could impact your school? Want help planning next steps for your advancement or enrollment strategy? Grab a virtual cup of coffee with me and let’s talk about how we can strengthen your Catholic school.
đź“… Schedule a time here
đź“… Schedule a time here
