Tax‑credit scholarships reshape state schooling

Federal rules for donor tax credits can convert charitable donations into large, portable scholarship pools that bypass traditional state controls, expand eligibility across high‑income cutoffs (300% of area median), and empower out‑of‑state giving where some governors decline to opt in. The regulations (married‑couple allowance, preemption of additional state SGO requirements) materially determine who can access funds and how much money flows, creating competition among states and new leverage points for governors, unions, and advocacy groups. — If scaled as estimated ($26B by 2030), this mechanism could materially redistribute education dollars, transform school‑choice politics, and create interstate funding arbitrage and donor competition with major social and political consequences.