IN HB1331

Increases the school scholarship tax credit from 50% to 75% of contributions made to scholarship granting organizations, effective for taxable years beginning after December 31, 2026

Allows taxpayers who commit to contributing at least the same amount for two consecutive years to claim a 90% tax credit instead of the standard 75%

Raises the annual cap on total tax credits from $18.5 million to $80 million starting in state fiscal year 2027-2028, with automatic 10% increases in years when at least 90% of credits are used, up to a maximum of $100 million

Expands the definition of "participating school" by removing requirements for state board or regional accreditation and administration of statewide assessment tests

Effective July 1, 2026