What is Parental Choice Tax Credit Program and how to get $7,500 payment? Full explainer on eligibility, deadline, application process, exclusions and rules

What is Parental Choice Tax Credit Program and how to get $7,500 payment is now a key topic for families in Idaho. The state has launched a new refundable tax credit to support parents paying for non-public education. The program allows eligible families to claim education-related expenses for children. Applications opened in January. The credit is capped per student. Income rules apply. The program runs through the Idaho State Tax Commission. Parents must apply before the deadline to be considered.

What is Parental Choice Tax Credit Program and how to get $7,500 payment?

What is Parental Choice Tax Credit Program and how to get $7,500 payment depends on student age and eligibility. The program is funded with $50 million by the state of Idaho. Families can receive up to $5,000 per student aged 5 to 18. Families can receive up to $7,500 per eligible student aged 5 to 21 with a qualifying disability that requires ancillary personnel.

The Parental Choice Tax Credit Program helps cover costs tied to education outside public schools. The credit is refundable. This means families may receive the amount even if they owe no tax.

Who can apply for the Parental Choice Tax Credit Program? Eligibility and rules

What is Parental Choice Tax Credit Program and how to get $7,500 payment also depends on income rules. Families with a modified adjusted gross income at or below 300 percent of the 2024 federal poverty level receive priority. These families may also request a one-time advance payment.

Families above the 300 percent income level may still apply. Selection is handled on a first-come, first-served basis. Applications not selected are placed on a waitlist.

Eligible expenses under the Parental Choice Tax Credit Program

What is Parental Choice Tax Credit Program and how to get $7,500 payment requires approved expenses. Funds can be used for non-public school tuition and fees. Approved expenses include curriculum materials and textbooks. Tutoring in core subjects is allowed. Some transportation costs qualify.

Expenses must directly support academic instruction. The Idaho State Tax Commission states they must be reasonable and necessary.

Expenses that do not qualify - exclusions

What is Parental Choice Tax Credit Program and how to get $7,500 payment does not include non-academic items. Extracurricular activities do not qualify. Uniforms are excluded. Gaming computers are excluded. Vehicles are excluded. Homeschool instruction provided by a parent does not qualify.

How and when to apply? Deadline and application process

What is Parental Choice Tax Credit Program and how to get $7,500 payment requires timely action. Applications opened on Thursday, January 15. The deadline to apply is March 15, 2026.

Parents must log into TAP. They must select the Parental Choice Tax Credit Dashboard on the Individual Income Tax Panel. Applications are for qualifying expenses paid in 2025.

Why the program was created?

What is Parental Choice Tax Credit Program and how to get $7,500 payment stems from House Bill 93. Governor Brad Little signed the bill into law in February. The governor stated the program expands schooling options. He also said Idaho continues to fund public schools. Since 2019, the state has invested nearly $17 billion in K-12 education.

FAQs

What is Parental Choice Tax Credit Program and how to get $7,500 payment?
The program is an Idaho tax credit that helps families pay for non-public education. Eligible students can qualify for up to $7,500 based on age, disability status, and approved expenses.

Who gets priority for the Parental Choice Tax Credit Program?
Families earning at or below 300 percent of the federal poverty level get priority. They may also request an advance payment. Applications are processed in the order received.