Texas Scholarship Granting Organizations

Texas SGO list: when and how

Announced Dec 10, 2025; on the IRS participating list since June 2026 (IR-2026-76).

Texas made its advance election and is on the IRS participating-states list for 2027 (as of October 22, 2026). The IRS first published Texas on that list in IR-2026-76 on June 8, 2026. Governor Abbott announced the intent to opt in on December 10, 2025 (state announcement).

The 2027 list is due by February 15, 2027. The proposed regulations (REG-117199-25) and the temporary regulations (T.D. 10057), both published in the Federal Register on October 2, 2026, say that for calendar year 2027 a state may provide its State SGO list on or before that date. If Texas does not submit the list, no SGO in Texas qualifies. (Proposed regulations, temporary regulations.)

Texas has not published an SGO application process. The Governor's December 10, 2025 announcement and the Texas Education Freedom Accounts site do not include one. The IRS participating-states page lists Texas and does not name individual SGOs. No SGO qualifies yet.

Texas's row on the federal tracker

Texas Education Freedom Accounts (TEFA)

Texas Education Freedom Accounts is a state-funded education savings account run by the Texas Comptroller of Public Accounts. Odyssey is the certified educational assistance organization that helps administer the program under the Comptroller's oversight. Senate Bill 2 provided $1 billion in funding. Family details are on the families page.

For 2026–27, the Comptroller's site sets these amounts:

• $10,474 for a child at a participating private school, including pre-K or kindergarten
• Up to $30,000 for a child with a disability who has an individualized education program (IEP) on file with the Texas Education Agency and attends a participating private school. The award follows what the child's district would receive for that IEP, and the site says most students receive less than the cap
• $2,000 a year for a child who is homeschooled or is not enrolled in a public school, a participating private school, or a pre-K or kindergarten program

The 2026–27 application window (February 4 through March 31, 2026) is closed. The site reports more than 274,000 applications and more than 100,000 awards. When applications exceed funding, placement is by lottery in this order: children with a disability in a household at or below 500% of the federal poverty level; then household income at or below 200%; then between 200% and 500%; then at or above 500%, with children who attended a Texas public or charter school for at least 90% of the prior year prioritized inside that last group. Funds for that last group may not exceed 20% of the program appropriation. The 2027–28 interest list is open.

A child is eligible when the child is a U.S. citizen, national, or lawfully present, is eligible to attend a Texas public school district or open-enrollment charter school (or an eligible public pre-K or kindergarten program), and the parent is a Texas resident. The families page also says the child must reside in Texas.

TEFA is a state-funded account the Comptroller awards to a family. The federal scholarship tax credit is a donor's federal income-tax credit, up to $1,700 per taxpayer ($1,700 single, $3,400 married filing jointly), for a cash gift to an SGO, which then awards scholarships. A TEFA award is not the federal credit, and a federal SGO scholarship is not a TEFA account.