Enacted 1987 • Launched 1987 • Individual Tax Credit
Iowa provides parents of students in any private or public school a tax credit covering educational
expenses, including tuition, books, and lab or activity fees. The credit is worth a maximum of $250.
Latest Stats (2012)
- Taxpayers participating: 145,792
- Average tax credit value: $103
Tax Credit Value
Parents receive a tax credit worth 25 percent of their expenditures up to a maximum credit of $250
per dependent in school. To get the maximum $250 per-dependent credit, parents must spend $1,000
in educational expenses; they also must have a state tax liability of at least $250 because the credit is
nonrefundable and thus cannot reduce an individual’s tax burden to less than zero.
All students enrolled in accredited nonprofit, public, or private elementary or secondary schools in
Iowa are eligible.
No legal challenges have been filed against the program.
Rules & Regulations
• Income Limit: None
• Prior Year Public School Requirement: None
• Geographic Limit: Statewide
• Enrollment Cap: None
• Individual Credit Cap: $250
• Testing Mandates: None
Iowa Code § 422.12
Michael Chartier | firstname.lastname@example.org