Arkansas to Participate in President Trump’s Federal Tax Credit Scholarship Program for School Choice

LITTLE ROCK, Ark. – Governor Sarah Huckabee Sanders today announced that Arkansas will participate in the federal tax credit scholarship program for school choice established by President Donald J. Trump’s One Big Beautiful Bill.

“Arkansas is a national leader in school choice and I’m excited to see that with President Trump back in office, he’s taking the education freedom movement nationwide,” said Governor Sanders. “Paired with the EFA program established by Arkansas LEARNS, which more than 44,000 students already participate in, this federal scholarship makes sure that Arkansas families have more education options than ever before.”

“A national message of school choice affirms the mission Arkansas has already adopted,” said Secretary of Education Jacob Oliva. “Through the high-interest EFA program, we are actively empowering parents and students with education freedom, and this federal scholarship ensures families can access the education best suited for their child’s needs.”
 
Beginning on January 1, 2027, individual taxpayers in Arkansas may now claim a nonrefundable federal tax credit for cash contributions to Scholarship Granting Organizations providing scholarships for elementary and secondary expenses. Individual taxpayers are limited to $1,700 in credits annually.
 
In 2023, Governor Sanders signed Arkansas LEARNS, which established the Education Freedom Account (EFA) program, providing assistance to parents seeking to enroll their children in private, parochial, or homeschooling. In the 2025-2026 school year, EFAs became available to every family in Arkansas, and more than 44,000 students currently participate in the program.
 
Additionally, the LEARNS Act raised public school teacher starting pay from $36,000 to $50,000 – from 48th in the nation to top 5 – established merit bonuses for teachers, and made Arkansas one of only four states in the nation to offer teachers up to 12 weeks of paid maternity leave. Through the LEARNS Act, Arkansas also deployed more than 120 literacy coaches to public schools statewide and established tutoring assistance grants for struggling students in need of extra assistance.