Mon., February 4, 2013 5:00am (EST)

GA Debates Expanded Scholarship Tax Credits
By Associated Press
Updated: 1 year ago

ATLANTA, Ga.  —  
Republican Rep. Earl Ehrhart of Powder Springs introduced a plan this week to enlarge a system that allows individuals and businesses to obtain tax credits when they make donations to scholarship providers to private schools.  (Photo courtesy: Surat Lozowick via flickr)
Republican Rep. Earl Ehrhart of Powder Springs introduced a plan this week to enlarge a system that allows individuals and businesses to obtain tax credits when they make donations to scholarship providers to private schools. (Photo courtesy: Surat Lozowick via flickr)
A Georgia Republican wants to expand a tax credit benefiting private school students, a system that critics say allows donors to illegally earmark scholarships for individual students.

Republican Rep. Earl Ehrhart of Powder Springs introduced a plan this week to enlarge a system that allows individuals and businesses to obtain tax credits when they make donations to scholarship providers to private schools. He has proposed raising the cap on the tax credits to $80 million annually from roughly $50 million.

The bill also would let the state offer $100 million in tax credits for people who contribute toward public school enrichment programs.

The Southern Education Foundation recently asked tax authorities to investigate whether parents are effectively earmarking contributions for their own children in violation of state law.