Editor's note: This post is a submission to Fordham's 2017 Wonkathon. We asked assorted education policy experts to explain how President Trump should structure his highly anticipated $20 billion school choice proposal. Other entries can be found here.
During the Presidential campaign in 2016, one of President Donald Trump’s central campaign promises was a $20 billion school-choice plan.
Now that Trump is in office, the quickest route to school choice in all fifty states is the adoption of a federal tax credit that encourages individuals and corporations to donate more money to nonprofit scholarship funds.
From a taxpayer’s perspective, under this plan, the tax savings you would receive for a donation to a scholarship fund would be greater than under current law. Currently, such a scholarship donation would be like any other charitable donation. If you are in the 35 percent tax bracket, you would receive 35 cents back for every dollar donated. Once this is turned into a scholarship tax credit, instead of a simple deduction, you would receive $1 back for every $1 donated.
This simple change is like putting charitable donations for scholarship funds on steroids. A lot more people would donate, and thus a lot...