Bill > S0050

This bill establishes the Academic Choice in Education (ACE) scholarship program, which creates a tax credit system to support students attending independent schools and home schools in South Carolina. The bill defines various categories of eligible students, including general children, disadvantaged children, exceptional needs children, and home school children, with specific income and eligibility criteria for each group. Taxpayers can receive a tax credit for contributions to nonprofit scholarship funding organizations that provide scholarships to these eligible students, with annual contribution limits of $15 million for most student categories and $10 million for home school students. The State Treasurer will manage the program, including creating an application process, approving scholarship funding organizations, and publishing annual reports. Scholarship funding organizations must meet strict requirements, such as allocating at least 95% of contributions to scholarships, avoiding conflicts of interest, and maintaining financial transparency. The tax credit is non-refundable but can be carried forward for up to ten years, and contributions are subject to specific claiming procedures and limitations. The bill repeals a previous educational credit program and is set to be fully implemented for the 2026-2027 school year, providing a new pathway for families to access alternative education options with financial support.

Budget and Finance

https://www.scstatehouse.gov/billsearch.php?billnumbers=50&session=126&summary=B