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Indiana

Opted in

Opted in on January 22, 2026

Governor Mike Braun of Indiana

Mike Braun

Governor , R

“Parents are in charge of their children's education. As a state, we are prioritizing that through universal school choice and a state tax credit for donations made to scholarship granting organizations.”

Governor Mike Braun, January 22, 2026 (State of Indiana press release)

FSTC Status in Indiana

Governor Mike Braun announced Indiana's participation on January 22, 2026.

Great news!

Indiana has opted in to the Federal Scholarship Tax Credit (FSTC).

Gubernatorial announcement; visited Saint Philip Neri Catholic School to mark the occasion.

Multiple SGOs already operate in Indiana including the Institute for Quality Education, Sagamore Institute, and Lutheran Scholarship Granting Organization of Indiana.

FSTC Readiness Checklist for Indiana Schools

Indiana has opted in to the FSTC. Use this 7-step checklist to prepare your school for participation.

1

Confirm Eligibility

Verify your school is an eligible K-12 institution (private, religious, or homeschool cooperative) under FSTC program rules.

2

Identify SGOs

Research which Scholarship Granting Organizations operate in Indiana. Contact them to understand application processes and timelines.

3

Estimate Family Eligibility

Use the FSTC Income Eligibility Calculator to estimate how many of your families fall within the 300% median income threshold.

Open Calculator
4

Prepare Documentation

Gather documentation of qualifying educational expenses: tuition, fees, tutoring, curriculum materials, and educational therapy costs.

5

Designate a Coordinator

Assign an FSTC coordinator to manage scholarship applications, SGO partnerships, and family communications.

6

Develop Communication Plan

Create materials to inform families about FSTC eligibility, the application process, and covered expenses. Plan for information sessions and one-on-one support.

7

Build SGO Relationships

Establish relationships with at least one SGO before the application window opens. Understand their requirements, reporting expectations, and disbursement timelines.

Recent News

On June 8, 2026, the IRS announced that 27 states, including Indiana, have elected to participate in the Federal Scholarship Tax Credit program created under the One Big Beautiful Bill. The IRS will maintain and update the official list of participating states as they complete the required election and submission process.

· Internal Revenue Service (IR-2026-76)

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