Refundable Educational Credit for Exceptional Needs Children
South Carolina
South Carolina provides a refundable tax credit to parents or guardians of students with special needs. Parents or guardians of students with special needs can be reimbursed, through a tax credit, for what they paid out of pocket for private school tuition. If the state taxes owed by the parents are less than the total credit allowed, they may receive a refund equal to the balance of the unused credit.
Students Eligible
12%
Student Eligibility
Students are eligible to receive scholarships if a local school district has determined that they are a child with a disability who needs special education and related services under the state’s evaluation criteria. Students are also eligible to receive scholarships if a licensed speech-language pathologist, a psychiatrist, or a medical, mental health, psychoeducational, or other comparable licensed healthcare provider has diagnosed a student with an impairment within the last three years. Impairments include a neurodevelopmental disorder, a substantial sensory or physical impairment (such as deafness, blindness or orthopedic disability), or some other disability or acute or chronic condition that significantly impedes the student’s ability to learn and succeed in school without specialized instructional and associated supports and services tailored to the child’s unique needs. Students must attend an eligible independent (nonpublic) school. _(Last updated July 16, 2024)_
Use of Funds
**Use of Funds** This refundable tax credit may be used for qualifying expenses including tuition, fees, textbooks, and transportation. **Funding Amount and Source** Parents or guardians receive a tax credit worth the lesser of (1) $11,000 per student or (2) their children’s actual cost of attending school. However, if the student receives an Educational Credit for Exceptional Needs Children Fund scholarship, then the credit claimed may equal only the difference of $11,000 or the cost of tuition, whichever is lower, and the amount of the tax credit-funded scholarship. The total cap on the program is $2 million. However, there may be some flexibility based on participation in the Educational Credit for Exceptional Needs Children Fund program as up to $3 million in unused Fund credits can be used for this refundable credit instead. _(Last updated July 16, 2024)_
Legal History
No legal challenges have been filed against the program. _(Last updated July 16, 2024)_
Program Timeline
Program Enacted
Legislation passed to create the program
Program Launched
Program began accepting applications
Last Updated
July 16, 2024