Keep Public Funds in Public Schools Act of 2026
- Bill Number
- H.R. 9289
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Taxation
- Status
- Introduced
- Latest Action
- 2026-06-11: Referred to the House Committee on Ways and Means.
- Last Updated
- 2026-07-10T08:06:29Z
AI-Generated Summary
Purpose of the Legislation This bill seeks to eliminate a federal tax credit for individual contributions to scholarship granting organizations and the associated exclusion from gross income for scholarship recipients. The short title is the "Keep Public Funds in Public Schools Act of 2026."
Key Provisions
- Repeals Section 25F of the Internal Revenue Code, which provides a tax credit for contributions to scholarship granting organizations.
- Repeals Section 139K of the Internal Revenue Code, which excludes certain scholarship amounts from gross income.
- Makes conforming amendments to other sections of the tax code to remove references to these provisions.
- Applies the changes to taxable years ending after December 31, 2026, with the income exclusion repeal applying to amounts received after that date.
Significant Changes to Existing Law The legislation removes existing tax incentives that support contributions to scholarship granting organizations and the tax-free treatment of related scholarship funds. These provisions are struck from Subpart A of Part IV of Subchapter A of Chapter 1 and Part III of Subchapter B of Chapter 1 of the Internal Revenue Code of 1986.
Potential Impacts
- Government agencies: The Internal Revenue Service would no longer administer or process claims related to the repealed credit and exclusion, potentially simplifying some tax filings.
- Citizens: Individuals who previously claimed the credit or received tax-free scholarships would lose these benefits starting in 2027.
- International relations: No direct effects identified.
The changes could redirect resources away from private scholarship programs toward public school funding.
Main Stakeholders Affected
- Taxpayers who make contributions to scholarship granting organizations.
- Scholarship granting organizations and the private schools or programs they support.
- Families receiving scholarships.
- Public schools and education advocacy groups.
- The House Committee on Ways and Means, which has jurisdiction over the bill.
Notable Legal, Constitutional, or Political Implications The repeal involves tax policy changes that could affect the balance between public education funding and private scholarship mechanisms. It does not introduce new regulatory frameworks but removes prior statutory benefits under the Internal Revenue Code.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (95)
Rep. Bonamici, Suzanne [D-OR-1], Rep. Frost, Maxwell [D-FL-10], Rep. Grijalva, Adelita S. [D-AZ-7], Rep. Pocan, Mark [D-WI-2], Rep. Thompson, Mike [D-CA-4], Rep. Doggett, Lloyd [D-TX-37], Rep. Larson, John B. [D-CT-1], Rep. Davis, Danny K. [D-IL-7], Rep. Sewell, Terri A. [D-AL-7], Rep. DelBene, Suzan K. [D-WA-1], Rep. Chu, Judy [D-CA-28], Rep. Beyer, Donald S. [D-VA-8], Rep. Scott, Robert C. "Bobby" [D-VA-3], Rep. Ansari, Yassamin [D-AZ-3], Rep. Brownley, Julia [D-CA-26], Rep. Budzinski, Nikki [D-IL-13], Rep. Bynum, Janelle S. [D-OR-5], Rep. Carson, André [D-IN-7], Rep. Casar, Greg [D-TX-35], Rep. Castor, Kathy [D-FL-14], Rep. Clarke, Yvette D. [D-NY-9], Rep. Cleaver, Emanuel [D-MO-5], Rep. Clyburn, James E. [D-SC-6], Rep. Cohen, Steve [D-TN-9], Rep. Craig, Angie [D-MN-2], Rep. DeGette, Diana [D-CO-1], Rep. DeLauro, Rosa L. [D-CT-3], Rep. DeSaulnier, Mark [D-CA-10], Rep. Dexter, Maxine [D-OR-3], Rep. Dingell, Debbie [D-MI-6], Rep. Escobar, Veronica [D-TX-16], Rep. Figures, Shomari [D-AL-2], Rep. Foushee, Valerie P. [D-NC-4], Rep. Garamendi, John [D-CA-8], Rep. García, Jesús G. "Chuy" [D-IL-4], Rep. Garcia, Sylvia R. [D-TX-29], Rep. Hayes, Jahana [D-CT-5], Del. Norton, Eleanor Holmes [D-DC-At Large], Rep. Huffman, Jared [D-CA-2], Rep. Ivey, Glenn [D-MD-4], Rep. Jackson, Jonathan L. [D-IL-1], Rep. Jayapal, Pramila [D-WA-7], Rep. Johnson, Henry C. "Hank" [D-GA-4], Rep. Kelly, Robin L. [D-IL-2], Rep. Khanna, Ro [D-CA-17], Rep. Krishnamoorthi, Raja [D-IL-8], Rep. Lee, Summer L. [D-PA-12], Rep. Mannion, John W. [D-NY-22], Rep. Matsui, Doris O. [D-CA-7], Rep. McBath, Lucy [D-GA-6] and 45 more
Recent Actions
- 2026-06-11: Referred to the House Committee on Ways and Means.
- 2026-06-11: Introduced in House
- 2026-06-11: Introduced in House
Bill Versions
- Keep Public Funds in Public Schools Act of 2026 — issued 2026-06-11 — PDF (3 pages)