Education Freedom Tax Credit Scholarship (EFTC)
Beginning January 1, 2027, the Institute for Quality Education (IQE) joins a national initiative designed to expand education opportunities like never before. Passed in 2025, the Education Freedom Tax Credit Scholarship (EFTC) creates tax benefits for donors and educational resources for Hoosier students.
The EFTC empowers individual donors to support K–12 students attending any school—traditional public, public charter, private, and homeschool. Donors who give through the Institute for Quality Education Scholarship Granting Organization (IQE SGO) will receive a dollar-for-dollar federal tax credit up to $1,700 per taxpayer annually.
Scholarships provided by the EFTC will be awarded to Indiana students of families earning at or below 300% of the Area Median Income (AMI), estimated to cover 90% of Indiana students.
Students will have the opportunity to receive scholarships that can help cover essential education expenses, including tuition, textbooks, tutoring, transportation, and other academic supports.
Students & Families
The power of the EFTC lies in its flexibility. These scholarships provide students with a customizable suite of educational services. Funds can be utilized for items such as:
- Tutoring
- Therapies and support services
- Tuition, fees, and curriculum
- Transportation
- Before and after-school programs
- Technology fees
- Special needs services
Every Indiana student who meets the income requirements can receive a scholarship, including those in traditional public, public charter, private, and homeschool. Learn how this program can enhance your child’s education.
Donors
Families and students aren’t the only ones who benefit. Individuals who contribute to this program through the IQE SGO will receive a 100% federal tax credit, up to $1,700 per taxpayer. It is a one-of-a-kind opportunity to transform your tax liability into a rewarding investment in Indiana’s future.
With 30 years of experience as the state’s largest SGO, IQE is uniquely prepared to lead the administration of the EFTC. We are collaborating with donors, families, school leaders, and service providers to guarantee the program’s success from the start.
Learn how you can donate to enhance a child’s education. Click the button above to explore how IQE SGO can benefit you.
Schools & Providers
The EFTC offers local schools and education service providers the financial bridge to build the student-support programs they’ve always envisioned. All school types are invited to innovate and expand, creating opportunities such as:
- Before and after-school programs
- Work-Based Learning
- Transportation solutions
- Technology fees
Learn how you can participate in this new chapter of education. Click above to learn more.