Court Rejects Challenge to Tax Credit Scholarship Program

Georgia's highest court has rejected a challenge to a program that provides tax exemptions in exchange for contributions to private school scholarships. A group of Fulton County taxpayers had sued the state Department of Revenue claiming the Qualified Education Tax Credit Program is unconstitutional because it can result in public tax funds going to private religious schools. The program allows people and corporations to make donations to private charitable organizations that are required to use at least 90 percent of the money to award scholarships to students to use at qualifying private schools. Donors then receive dollar-for-dollar income tax exemptions. In a unanimous opinion published Monday, the Georgia Supreme Court ruled that the taxpayers failed to demonstrate injury to their rights and had no standing to bring the constitutional challenge.