The Treasury Department (Treasury) and Internal Revenue Service (IRS) have released a formal query seeking public comments regarding the implementation of a new individual tax credit created under HR 1, which became law in July. Beginning January 1, 2027, taxpayers in qualified state programs may claim a nonrefundable credit of up to $1,700 for contributions to Scholarship Granting Organizations (SGOs) that fund elementary and secondary school scholarships for low-and middle-income students. States must opt into the program by sending the IRS a list of SGOs that meet federal requirements before contributions in that state can qualify. Treasury and the IRS plan to issue proposed regulations and are requesting feedback on issues such as state certification of SGOs, state procedures to ensure accurate certifications, and how multi-state or otherwise unique scholarship organizations should be treated. They are also seeking input on reporting and recordkeeping rules for SGOs. Commenters are encouraged to use the Federal e-Rulemaking portal. All comments must be received by December 26, 2025. COPAA is examining the IRS query and will make a decision about commenting this week.