A bill for an act relating to state participation in the federal tax credit program for individual contributions to scholarship granting organizations.

HF 2308 would allow Iowa to join a federal tax credit program, enabling Iowa residents who donate to scholarship granting organizations (SGOs) to claim a state tax credit. The bill requires the governor to elect participation in the federal tax credit (under IRS Section 25F) and mandates the departments of Revenue and Education to follow federal rules to administer the program starting tax years after January 1, 2027. This would let SGOs provide scholarships of up to $1,700 per year per student for eligible elementary and secondary school expenses, directly benefiting families using nonpublic schools.