High-Quality Charter Schools Act
Summary
What This Bill Does
The bill creates amendment to IRC inserting new section 25F providing a 75% tax credit for qualified contributions to eligible charter school organizations, capped at the greater of 10% AGI or $5,000, with 5-year carryforward, creates full text of new IRC section 25F establishing the 75% tax credit for contributions to eligible charter school organizations with definitions, credit limits, carryforward, and volume cap provisions, and requires new subchapter in IRC Chapter 42 penalizing eligible charter school organizations that fail to expend qualified contributions within required timeframes, with 100% expenditure requirement, 10% admin safe. It relies on tax credits, definition changes, compliance mandates, and reporting requirements. The main policy areas are Education and Finance.
Who Benefits and How
Eligible charter school organizations could gain revenue opportunities, Charter management organizations could gain revenue opportunities, and High-income individual taxpayers could see lower costs.
Who Bears the Burden and How
Federal tax revenue could lose revenue opportunities, Eligible charter school organizations would take on compliance duties, and Charter school organizations receiving donations would take on compliance duties.
Key Provisions
- Creates amendment to IRC inserting new section 25F providing a 75% tax credit for qualified contributions to eligible charter school organizations, capped at the greater of 10% AGI or $5,000, with 5-year carryforward...
- Creates full text of new IRC section 25F establishing the 75% tax credit for contributions to eligible charter school organizations with definitions, credit limits, carryforward, and volume cap provisions.
- Requires new subchapter in IRC Chapter 42 penalizing eligible charter school organizations that fail to expend qualified contributions within required timeframes, with 100% expenditure requirement, 10% admin safe...
- Requires codified text of section 4969 establishing penalties for charter school organizations failing to expend qualified contributions, including expenditure requirements and definitions.
- Establishes a $5 billion annual volume cap on charter school tax credits with $10 million per-state allocation, national pool for remainder, first-come-first-served basis, 5% escalator when 90% utilized, and real-time...
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers with clause-level evidence links.
At a Glance
What This Bill Does
The bill creates amendment to IRC inserting new section 25F providing a 75% tax credit for qualified contributions to eligible charter school organizations, capped at the greater of 10% AGI or $5,000, with 5-year carryforward, creates full text of new IRC section 25F establishing the 75% tax credit for contributions to eligible charter school organizations with definitions, credit limits, carryforward, and volume cap provisions, and requires new subchapter in IRC Chapter 42 penalizing eligible charter school organizations that fail to expend qualified contributions within required timeframes, with 100% expenditure requirement, 10% admin safe.
Key Policy Areas
Education, Finance
Primary Purpose
The bill creates amendment to IRC inserting new section 25F providing a 75% tax credit for qualified contributions to eligible charter school organizations, capped at the greater of 10% AGI or $5,000, with 5-year carryforward, creates full text of new IRC section 25F establishing the 75% tax credit for contributions to eligible charter school organizations with definitions, credit limits, carryforward, and volume cap provisions, and requires new subchapter in IRC Chapter 42 penalizing eligible charter school organizations that fail to expend qualified contributions within required timeframes, with 100% expenditure requirement, 10% admin safe.
Policy Domains
Tax Credit for Contributions (Section 2)
Identified Gains
- Eligible charter school organizations
- Charter management organizations
- High-income individual taxpayers
- Individual taxpayer donors
- Charter school organizations in all 50 states
Identified Costs
- Federal tax revenue
- Eligible charter school organizations
- Charter school organizations receiving donations
- Traditional public schools
Sponsors
Legislative Progress
In CommitteeCommittee on Health, Education, Labor, and Pensions. Hearings held.
Mr. Scott of South Carolina introduced the following bill; which …
Read twice and referred to the Committee on Finance.
Introduced in Senate
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Charter management organizations, Charter school accountability, Charter school organizations
Eligible charter school organizations faces effects in multiple directions
Positive-direction: Charter management organizations, Charter school accountability, Charter school organizations, Charter school organizations in all 50 states, Charter school parents and students
Negative-direction: Charter school organizations receiving donations, Traditional public schools
Charter school donors, High-income individual taxpayers, Individual taxpayer donors
States with large charter school sectors
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_secretary"
- → Secretary of the Treasury
- "the_secretary"
- → Secretary of the Treasury
- "the_secretary"
- → Secretary of the Treasury
Key Definitions
Terms defined in this bill
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology