Parents urged to prepare for tax credit program

Parents who want to be ready to apply for the Idaho Parental Choice Tax Credit should look into the Idaho State Tax Commission’s FAQs at tax.idaho.gov/parentalchoicecredit.

The Idaho Parental Choice Tax Credit is a new refundable tax credit program that provides nearly $50 million in state funds to pay for eligible nonpublic school expenses for Idaho K-12 students and Idaho disabled students up to 21 years of age.

The program allows parents to apply for a tax credit of up to $5,000 for each eligible student, and up to $7,500 for each eligible disabled student. Priority will be given to parents whose total adjusted income doesn’t exceed 300% of the federal poverty level.

Parents will be able to apply for the 2025 program online from Jan. 15, 2026, through March 15, 2026. Applications will be processed in the order in which they’re received, so ITC officials recommend parents prepare by doing the following:

Keep receipts of their 2025 eligible expenses.

File their 2024 tax return. ITC officials will use the return to determine program eligibility.

Get a Taxpayer Access Point account at tax.idaho.gov/NewTAP. Parents will need an account to apply for the program.

To help parents learn more about the tax credit program, the Tax Commission is offering educational classes. Interested taxpayers can register for an online webinar held Aug. 19 or an in-person seminar held in Boise on Aug. 26. More classes will be available in the future.

Parents with questions can also call the Idaho Tax Commission at 208-334-7660 in the Boise area or toll free at 1-800-972-7660.