Enacted in 1987, this state income tax credit gives parents of both private and public schools a tax credit to help with educational expenses:
- Tax credit is equal to 25% of the first $1,000 paid for each child in grades K-12 for tuition and textbooks
- Definition of “textbooks” includes expenses for materials used in extra-curriculars such as drama, sports, driver’s education, and similar programs.
- Parents claim this credit on their Iowa tax return
- This program helps parents offset some of the expense of choosing private education, as well as all the extras of public education.