Tuition Tax Credits (TTCs)

Under this scheme, individuals or corporations receive a tax credit in exchange for giving money to an intermediary organization, often called a “scholarship organization.” Then, the “scholarship organization” writes a check for tuition at a private school. In short, rather than collecting taxes and then giving a portion to a private school (a voucher), the government forgoes those tax dollars so long as they go to a private school (a TTC). The end is the same—money funneled to private schools and away from public schools.

TTCs share the same problems inherent to vouchers; however, TTCs add an extra layer of bureaucracy, making them ripe for waste, fraud, and abuse.