Help Support Scholarships for Valor Students
Beginning in 2027, a new federal program called the Education Freedom Tax Credit (EFTC) gives taxpayers a way to help students while receiving a dollar-for-dollar federal income tax credit.
The basic idea is simple:
An individual can give up to $1,700 and receive up to a $1,700 federal tax credit.
A married couple filing jointly can give up to $3,400 and receive up to a $3,400 federal tax credit.
The EFTC is a tax credit, not a tax deduction.
If you qualify for the full credit, 100% of your donation can essentially come back to you through your federal income taxes:
$1,700 donated → $1,700 tax credit
$3,400 donated by a married couple filing jointly → $3,400 tax credit
You claim the credit when you file your 2027 taxes in 2028. If you cannot use the full credit in one year, the unused amount can generally be carried forward for up to five years.
How Does It Work?
1. Give through ACE Scholarships
To help support scholarships for Valor students, use Valor Academy’s special ACE Scholarships giving page:
Donate Through ACE for Valor Academy Here
2. The money helps provide scholarships
ACE uses qualifying EFTC donations to provide scholarships for eligible students.
The donation cannot be set aside for one particular child.
For example, a parent or grandparent cannot give $1,700 and say:
“This money must go to my child or grandchild.”
Scholarships must be awarded according to the rules of the program.
3. Claim the tax credit
If you make a qualifying donation in 2027, you claim the credit when you file your 2027 federal income tax return in 2028.
If you have enough federal income tax to use the full credit:
$1,700 donated = up to $1,700 federal tax credit
$3,400 donated by a married couple filing jointly = up to $3,400 federal tax credit
Help Us Spread the Word!
Our hope is to create enough scholarship funding to help every eligible Valor student.
You can help by sharing this opportunity with:
Grandparents, adult children, brothers, sisters, aunts, uncles, friends, neighbors, coworkers and others you know.
The more people who participate, the more scholarship money may be available to help Valor families afford their children’s education.
Donors do not have to live in Wyoming. Eligible taxpayers from across the United States may participate by giving through a qualifying Scholarship Granting Organization such as ACE.
Donate Through ACE for Valor Academy Here
Frequently Asked Questions
Is this a tax deduction?
No.
A tax deduction only reduces the amount of your income that is taxed.
The EFTC is different. It is a tax credit, which reduces the actual federal income tax you owe dollar for dollar.
So, if you are eligible to use the full credit, a $1,700 qualifying donation can come back to you as a $1,700 reduction in your federal income taxes— essentially returning 100% of your donation to you through your federal income taxes.
How much can I give?
An individual taxpayer may qualify for a credit of up to $1,700 per year.
A married couple filing a joint tax return may qualify for a credit of up to $3,400 per year.
When does the program begin?
The federal tax credit begins January 1, 2027, but you can sign up now to have the money donated on January 1st.
Donate Through ACE for Valor Academy Here
When do I get the tax credit?
You do not receive the credit immediately when you make the donation.
A qualifying contribution made in 2027 is claimed on your 2027 federal income tax return, which you normally file in 2028.
What if I normally get a tax refund?
Getting a tax refund does not necessarily mean you did not pay federal income tax.
Many people have federal income tax taken out of their paychecks during the year and then receive some money back when they file their tax return.
What matters is whether you have enough federal income tax liability after other credits to use the EFTC.
Learn How to Tell If You Can Use the Full Tax Credit
What if I cannot use the whole credit in one year?
The EFTC is a nonrefundable tax credit.
If you do not have enough federal income tax to use the entire credit right away, the unused amount can generally be carried forward for up to five years.
Our separate tax-credit page explains this in more detail.
Can I give money specifically to my child or grandchild?
No.
Federal rules do not allow an EFTC donation to be designated for one specific student.
You can give through Valor Academy’s ACE page to help support scholarships for Valor students, but the scholarship money must be awarded according to the rules of the program.
If I donate, does that guarantee my child will receive a scholarship?
No.
Making a donation does not guarantee that the donor’s child will receive a scholarship.
Our goal is to encourage enough people to participate that scholarship funding will be available to help as many eligible Valor students as possible.
Do donors have to live in Wyoming?
No.
Eligible taxpayers from other states may also participate.
That means grandparents, relatives, friends and others who live outside Wyoming may be able to help support scholarship funding.
Can I share this with family and friends?
Yes! Please do.
That is one of the biggest ways Valor families can help.
If each family shares this opportunity with several relatives and friends, the combined impact could be significant.
Ready to Help?
Donate Through ACE for Valor Academy Here
Please also share this page with family members and friends who may be interested.
For additional tax questions, please check with your tax preparer.
We will continue updating this page as we receive additional information from ACE Scholarships and the IRS.
This page is intended to provide general information about the Education Freedom Tax Credit. Individual tax situations are different. Please consult your tax preparer or tax adviser if you have questions about your personal tax situation.