Public Law 119-21, title VII · enacted July 4, 2025
§70411(c), Effective Dates
(c)Effective dates
(1)In general (§25F)
The amendments made by subsection (a) shall apply to taxable years ending after December 31, 2026.
(2)Exclusion from income (§139K)
The amendments made by subsection (b) shall apply to amounts received after December 31, 2026, in taxable years ending after such date.
Plain English: The federal scholarship tax credit (§25F) is claimable on tax returns covering any portion of 2027 and later. The income exclusion for scholarships (§139K) covers scholarship dollars received on or after January 1, 2027. The first donations eligible for the credit are those made on or after January 1, 2027; the first scholarships paid out under §25F also begin on that date.
