(MENAFN- ValueWalk) Oklahoma parents will be able to apply for the new school choice tax credit program starting next month. The Oklahoma Tax Commission (OTC) will start accepting applications for the Oklahoma Parental Choice Tax Credit from December 1 (8:30 a.m.). Any taxpayer looking to enroll a student in a private school is eligible for the credit.
Oklahoma Parental Choice Tax Credit: what is it?
Oklahoma's Parental Choice Tax Credit is part of the plan that the State Legislature approved and Gov. Kevin Sitt signed into law to give parents more freedom in deciding how their children are educated.
The OTC has authorized $150 million of tax credits in 2024. The funding cap will increase by $50 million each year for the next two years.
Eligible taxpayers can get up to $7,500 in Oklahoma Parental Choice Tax Credit toward qualified expenses, including tuition fees and fees paid to eligible private schools on behalf of an eligible student.
The Oklahoma Tax Commission has hired a company, called Merit, to set up and administer the Oklahoma Parental Choice Tax Credit program. Merit currently manages the government education programs for Ohio and Kansas.
The credit amount will be sent via paper check directly to the schools. The checks, however, will be made payable to the taxpayer. If the tuition and other eligible fees have already been paid by the taxpayer, they will either receive the credit payment from the school or send it to the school as payment.
How to apply
Oklahoma authorities have already informed the school about the information they need to provide to taxpayers to apply for the credit . Private schools can visit this link to learn about the eligibility requirements and complete the School Participation Form.
All applicants need to get an Enrollment Verification Form for each student from the school and submit it with their application. Additionally, non-guardian applicants will have to submit a Parental Consent Form as well. The consent form is available on the program's website.
It must be noted that multiple pre-K through grade 12 students per household can apply for the Oklahoma Parental Choice Tax Credit, and that there are no fees to apply or participate. To simplify the process, taxpayers can submit a single application for multiple eligible students.
Program administrators will verify the eligibility of the applicant, and will issue a credit of $5000-$7,500, depending on the federal AGI of the student's household. Applicants with a federal AGI of $150,000 or less will get priority for the first 60 days.
Visit this link to apply for the Oklahoma Parental Choice Tax Credit program. The last date to apply for the program is December 31, or until the program's annual cap is met, whichever comes first.
If authorities receive more applications than the funding cap, then families with the lowest income will get priority.
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