Federal Tax Credit for Scholarships Begins in 2027

Legacy Deo has announced the formation of a new Scholarship Granting Organization designed to expand access to Christian education and strengthen long-term support for schools and families across Texas.

The new initiative coincides with the upcoming Federal Scholarship Tax Credit program. Beginning in 2027, individual taxpayers will be able to earn a federal tax credit by donating towards scholarships.

“This is an exciting moment for Christian education in Texas,” said Kassi Benaglio, SGO Coordinator at Legacy Deo. “The Scholarship Tax Credit program gives families, grandparents, and supporters a meaningful way to support scholarships that help students grow in faith, learning, and service. Our goal is to help schools steward this opportunity with clarity, integrity, and care.”

Legacy Deo began preparing for the initiative in early 2026 by collaborating with private school leaders and studying long-standing scholarship programs across the country. A group of early partner schools, affectionately called “The First 20,” helped shape the SGO model and build momentum for the effort.

Christian schools across Texas already provide financial assistance to families who desire a Christ-centered education but need support to make it possible. In many cases, the need for assistance exceeds available scholarship funds. Legacy Deo leaders say the Federal Scholarship Tax Credit program could help schools raise additional scholarship funds and expand access for more families.

Legacy Deo brings more than 60 years of experience serving churches, schools, camps, and ministries. Through the new SGO, the organization will provide financial expertise, compliance infrastructure, and ongoing communication as federal guidance continues to be finalized.

Qualified gifts are expected to begin Jan. 1, 2027, with tax credits applied to 2027 federal tax returns.

“This work is ultimately about stewardship and mission,” Benaglio said. “By God’s grace and through strong partnerships, we believe this initiative can strengthen Christian education for generations to come.”

About Legacy Deo

Legacy Deo serves churches, schools, camps, and ministries by providing financial, administrative and ministry support rooted in faithful stewardship. With more than 60 years of ministry experience, Legacy Deo works alongside Christian organizations to help strengthen their mission and long-term sustainability.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260630066124/en/

“The Scholarship Tax Credit program gives families, grandparents, and supporters a meaningful way to support scholarships that help students grow in faith, learning, and service."