House Bill 743 Summary

• Establishes Idaho parental choice tax credit allowing parents/guardians to claim refundable tax credits up to $5,000 annually for qualified education expenses (tuition, tutoring, assessments, textbooks, transportation) for eligible students ages 5-18, with credit limit increased to $7,500 for students with disabilities.

• Creates $60 million annual cap on total tax credits, distributed on first-come, first-served basis with priority given for three years to taxpayers who received grants under the program.

• Establishes Idaho parental choice grant program administered by state tax commission, providing up to $5,000 grants (or $7,500 for students with disabilities) to parents/guardians who qualify for federal earned income tax credit, to be distributed on first-come, first-served basis with $10 million annual cap.

• Creates Idaho parental choice grant fund in state treasury funded by legislative appropriations, donations, unused grant reversions, and interest earnings, with unobligated cash balance from bond levy equalization fund transferred to it.

• Prohibits nonpublic schools receiving payments from these programs from being subject to government control or required to alter admissions, curriculum, or creed; effective dates vary (tax credit retroactive to January 1, 2024; grant program effective July 1, 2024).