Treasury Previews Education Freedom Tax Credit Guidance

U.S. Treasury Press Release (June 10, 2026) | U.S. Treasury | 2026-06-10

On June 10, 2026, the U.S. Department of the Treasury announced that it had previewed forthcoming Treasury and IRS guidance for the new federal Education Freedom Tax Credit under Internal Revenue Code Section 25F, which the release says is on track to launch in January 2027. Treasury stated that it expects to issue proposed regulations by the end of September, and that states, scholarship granting organizations, and taxpayers are expected to be able to rely on those proposed regulations for tax year 2027. The preview was delivered during a roundtable with scholarship granting organizations, education stakeholders, technology providers, and state representatives, where a Treasury official outlined several key issues the forthcoming guidance is expected to address.

Why this matters: It is Treasury's first public signal of the timeline for Section 25F rules, telling schools and donors that proposed regulations are expected by the end of September 2026 and may be relied upon for tax year 2027.