Thanks to President Trump, starting in tax year 2027, taxpayers can claim a non-refundable federal income tax credit for cash contributions to certain scholarship-granting organizations (SGOs). That credit is capped at $1,700 per taxpayer per year.
This was part of President Trump's "One Big Beautiful Bill." That means students who meet the eligibility requirements (currently 300 percent of the area median income) would qualify for scholarships that cover tutoring, books/supplies, fees, uniforms, transportation, certain special needs services, and tuition at private schools.
States need to opt in to the program.
Wisconsin Governor Tony Evers is vowing to veto AB 602, the bill passed by the Republican-led state legislature that would force the state to opt into the program.
Governor Evers’ Threatened Veto Would Send “Free Money” for Wisconsin’s Families to Students in Other States
— Dairyland Sentinel (@DairylandSent) February 11, 2026
He is one of only a handful of governors across the nation who have declared they will not opt in. https://t.co/cKYxYl4x5S pic.twitter.com/PIqTWEKVLJ
To be clear, starting next year Wisconsin filers can still benefit from this tax credit, but Wisconsin families will not have access to any of these funds if Evers goes through with his threat to veto Wisconsin Assembly Bill 602.
The other Governor who called participation in scholarships a “no brainer” was 2024-25 National Democratic Governors Association Chair Polis of Colorado. He also said, “The more Democratic governors learn about it, I fully expect that most will come around and participate, because from our perspective, it’s free money.”
While some families will find that the best use of a scholarship is for tuition at a private school, frankly many more will find the best use is for needed tutoring to catch up in reading or math, or to take a course like astronomy or a foreign language not offered at their school, or to receive great supplemental materials in anything from character development to history.
And you don’t have to take my word for it.
Back to Democratic Governor Polis: “I think that the much broader benefit to so many Colorado families will be after-school activities, and learning for kids that are in public school, summer school activities, tutoring — so many areas that really kids and families will benefit from.“
Again, if Governor Evers vetoes AB 602 that will not mean the federal law won’t impact Wisconsin. What it means is that Wisconsin taxpayers who take the dollar-for-dollar credit in Wisconsin – and there will be many – will just see that money sent to families in other states.
No matter what the Governor does, tens of thousands of Wisconsinites will be faced with the zero-cost choice of, “Should I send $1,700 to the DC swamp or should I give it to a non-profit that helps kids access needed education?” Taxpayers will find that a pretty easy question to answer.
According to the Milwaukee Journal Sentinel, Governor Evers told them, “Let’s just do the best we can with our public schools… We have plenty of voucher schools. We don’t need voucher money.”
Vetoing the bill means that Wisconsin taxpayers would still qualify for the tax credit, but Wisconsin families would be denied access to the scholarships.
This punishes families and students. And no, Wisconsin Republicans do not have the two-thirds majority required to override an Evers' veto.
Evers can argue he's protecting public education (which is abysmal in Wisconsin) from another expansion of school choice, but it won't stop the federal tax credit from taking effect. He'll simply prohibit Wisconsin families from accessing scholarships that would help their children get a better education.