BOISE, ID — Idaho Gov. Brad Little has issued an executive order declaring the state’s intent to opt into a new federal scholarship tax credit program created under the One Big Beautiful Bill Act.
Executive Order 2026-03, signed Feb. 16, directs the Idaho State Department of Education to prepare to implement the federal education tax credit program.
The federal law, signed July 4, 2025, created a tax credit for individuals who donate up to $1,700 to qualified scholarship-granting organizations, or SGOs, that support K-12 students. States must formally opt into the program in order to participate beginning in January 2027.
According to the executive order, Idaho submitted IRS Form 15714 on Jan. 20, 2026, declaring its intention to participate and acknowledging the requirement to provide a list of qualified SGOs that meet federal guidelines under the Internal Revenue Code.
The order directs the Idaho State Department of Education to:
- Submit annually, by Jan. 1, a list of qualified scholarship-granting organizations to the U.S. Secretary of the Treasury and publish the list on its website.
- Certify its authority to submit the list.
- Accept submissions from scholarship-granting organizations throughout the year to determine eligibility.
- Comply with applicable federal regulations to ensure Idaho’s participation for taxable years beginning after Dec. 31, 2026.
In a news release, Governor Little said the order is intended to expand school choice options in Idaho. The release also included statements from Sen. Lori Den Hartog, Rep. Jason Monks, and Superintendent of Public Instruction Debbie Critchfield supporting the state’s decision to opt into the program.
The governor’s office stated that the program allows individuals to receive a federal tax credit for donations made to approved scholarship organizations and that participation does not require additional state taxpayer funding.
The full executive order is available on the Governor’s Office website.
