New Hampshire

Education Tax Credit Program

New Hampshire offers tax credits to businesses for donations to nonprofits that provide private school scholarships. Available tax credits were capped at $3.4 million in the first year and are capped at $5.1 million in the second year. That cap will increase by 25 percent per year thereafter if usage is above 80 percent.   The average value of all scholarships given by a scholarship organization cannot exceed $2,541, except for students with special needs, whose scholarships cannot be less than $4,375. That amount is adjusted each year to reflect the changes in the Consumer Price Index. For homeschoolers, the scholarship is limited to 25 percent of the program's average scholarship, or $625.  Students must be ages five to 20 and come from households where family income is less than 300 percent of the federal poverty line ($71,550 for a family of four in 2014-15). In the first two years of the program, scholarship organizations are required to award 70 percent of scholarship funds to students who previously attended a public school or who already received a scholarship. Additionally, 40 percent of scholarships awarded must be given to students who qualify for the federal free and reduced-price lunch program.  The program launched in 2013.