Trump Signs 'One Big Beautiful Bill' Expanding Access to Catholic Schools
President Donald J. Trump has signed the 'One Big Beautiful Bill' into law, introducing a federal tax credit for donations to charities offering scholarships to elementary and secondary school students. This legislation, passed on July 4, aims to expand access to Catholic schools and other private institutions, potentially leading to varied adoption across the country. It provides tax incentives for contributions to 501(c)(3) public charities, which can then grant scholarships to K-12 students. The U.S. Treasury Department will oversee the tax rules and applications related to this new code. Catholic schools, which are increasingly educating a diverse population with 23.1% racial minorities, 19.3% Hispanic students, 22.0% of other faiths, and 6.9% with special needs, may benefit significantly from this legislation. School choice advocates have hailed its passage as 'historic'. However, the bishops have expressed concerns about the educational provisions and are advocating for solid protections and the establishment of scholarship granting organizations. The success of the 'One Big Beautiful Bill' hinges on states opting in, with some potentially deciding not to participate. While it may not align with all bishops' wishes, it could lead to increased contributions to Catholic nonprofits, expanding access to Catholic schools. Notably, as a tax credit and not federal funds, it is unlikely to harm public schools.
