SB1341 • 2026

Authorizes a tax credit for certain educational expenses

Education Taxes

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Schroer, Nick; House handler: N/A
Last action: 2026-01-27
Official status: Second Read and Referred S Education Committee
Effective date: 2026-08-28

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Authorizes a tax credit for certain educational expenses

The following summaries of this bill are available: Print All Summaries Introduced Print SB 1341 - For all tax years beginning on or after January 1, 2027, this act authorizes a taxpayer to claim a tax credit in an amount equal to one hundred percent of qualified expenses incurred during the tax year for educating a qualified student in a nonpublic school, as such term is defined in the act, provided that no tax credit shall exceed the state adequacy target.

What This Bill Does

The following summaries of this bill are available: Print All Summaries Introduced Print SB 1341 - For all tax years beginning on or after January 1, 2027, this act authorizes a taxpayer to claim a tax credit in an amount equal to one hundred percent of qualified expenses incurred during the tax year for educating a qualified student in a nonpublic school, as such term is defined in the act, provided that no tax credit shall exceed the state adequacy target.
Tax credits authorized by the act shall not be transferred, sold, or assigned, but are refundable.
A tax credit shall not be issued for any qualified expenses paid for using a Missouri Empowerment Scholarship account.
To be eligible for a tax credit, a taxpayer shall have enrolled a qualified student in a nonpublic school during the tax year, and shall not have enrolled a qualified student in the taxpayer's resident school district during the tax year for which the taxpayer is claiming a tax credit.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-01-27 S243
Second Read and Referred S Education Committee
2026-01-07 S83
S First Read
2025-12-01 Missouri House of Representatives and Missouri Senate
Prefiled

Official Summary Text

The following summaries of this bill are available:

Print All Summaries

Introduced

Print

SB 1341 - For all tax years beginning on or after January 1, 2027, this act authorizes a taxpayer to claim a tax credit in an amount equal to one hundred percent of qualified expenses incurred during the tax year for educating a qualified student in a nonpublic school, as such term is defined in the act, provided that no tax credit shall exceed the state adequacy target. Tax credits authorized by the act shall not be transferred, sold, or assigned, but are refundable. A tax credit shall not be issued for any qualified expenses paid for using a Missouri Empowerment Scholarship account.

To be eligible for a tax credit, a taxpayer shall have enrolled a qualified student in a nonpublic school during the tax year, and shall not have enrolled a qualified student in the taxpayer's resident school district during the tax year for which the taxpayer is claiming a tax credit.

Tax credits authorized by the act shall be claimed by the taxpayer at the time such taxpayer files a return.

This act shall sunset on August 28, 2032, unless reauthorized by the General Assembly.

This act is identical to SB 1163 (2026), SCS/SBs 195 & 53 (2025), and SB 867 (2024), and to a provision in HCS/HB 1935 (2024), and is substantially similar to HB 2449 (2026), HCS/HB 77 (2025), SB 729 (2024), HB 1911 (2024), and HB 2366 (2024).
JOSH NORBERG

Current Bill Text

Read the full stored bill text

SECOND REGULAR SESSION
SENATE BILL NO. 1341
103RD GENERAL ASSEMBLY
INTRODUCED BY SENATOR SCHROER.
5470S.01I KRISTINA MARTIN, Secretary
AN ACT
To amend chapter 135, RSMo, by adding thereto one new section relating to a tax credit for certain
educational expenses.
Be it enacted by the General Assembly of the State of Missouri, as follows:
Section A. Chapter 135, RSMo, is amended by adding thereto 1
one new section, to be known as section 135.721, to read as 2
follows:3
135.721. 1. This section shall be known and may be 1
cited as the "Missouri Parental Choice Tax Credit Act". 2
2. For the purposes of this section, the following 3
terms shall mean: 4
(1) "Department", the Missouri department of revenue; 5
(2) "Nonpublic school", any school that is not a part 6
of the public school system of the state of Missouri and 7
that renders elementary or secondary educational services, 8
regardless of whether such school charges tuition; 9
(3) "Qualified expenses": 10
(a) Tuition or fees at a nonpublic school; 11
(b) Textbooks required by a nonpublic school; 12
(c) Educational therapies or services from a licensed 13
or accredited practitioner or provider including, but not 14
limited to, licensed or accredited paraprofessionals or 15
educational aides; 16
(d) Tutoring services; 17
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(e) Curriculum; 18
(f) Tuition or fees for a private virtual school; 19
(g) Fees for a nationally standardized norm-referenced 20
achievement test, advanced placement examinations, or any 21
examinations related to college or university admission; 22
(h) Fees for services provided by a public school 23
including, but not limited to, individual classes and 24
extracurricular programs; 25
(i) Computer hardware or other technological devices 26
that are used to help meet the qualified student's 27
educational needs; 28
(j) Fees for summer education programs and specialized 29
after-school education programs; and 30
(k) Transportation costs for mileage to and from a 31
nonpublic school; 32
"Qualified expenses" shall not include consumable 33
educational supplies including, but not limited to, paper, 34
pens, pencils, or markers; tuition at a private school 35
located outside of the state of Missouri; or payments or 36
reimbursements to any person related within the third degree 37
of consanguinity or affinity to a qualified student; 38
(4) "Qualified student", a child who is not enrolled 39
in a public school and who is required to be educated 40
pursuant to section 167.031; 41
(5) "Resident school district", the school district in 42
which a taxpayer's residence is located; 43
(6) "Tax credit", a credit against the tax otherwise 44
due under chapter 143, excluding withholding tax imposed 45
under sections 143.191 to 143.265; 46
(7) "Taxpayer", any individual subject to the state 47
income tax imposed under chapter 143, excluding the 48
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withholding tax imposed under sections 143.191 to 143.265, 49
and who: 50
(a) Enrolled a qualified student in a nonpublic school 51
during the tax year for which the taxpayer is claiming a tax 52
credit pursuant to this section; and 53
(b) Did not enroll a qualified student in the resident 54
school district during the tax year for which the taxpayer 55
is claiming a tax credit pursuant to this section. 56
3. (1) For all tax years beginning on or after 57
January 1, 2027, a taxpayer shall be authorized to claim a 58
tax credit against the taxpayer's state tax liability in an 59
amount equal to one hundred percent of qualified expenses 60
incurred for educating a qualified student at a nonpublic 61
school, provided that no tax credit authorized pursuant to 62
this section shall exceed the state adequacy target, as 63
defined in section 163.011. 64
(2) Tax credits authorized pursuant to this section 65
shall not be transferred, sold, or assigned. 66
(3) Any amount of tax credit that exceeds the 67
taxpayer's state tax liability shall be considered an 68
overpayment of taxes and shall be refunded. 69
(4) Notwithstanding any provision of law to the 70
contrary, no tax credit shall be issued pursuant to this 71
section for any qualified expenses that were paid for using 72
a Missouri empowerment scholarship account created pursuant 73
to sections 166.700 to 166.720. 74
4. Tax credits authorized pursuant to this section 75
shall be claimed by the taxpayer at the time such taxpayer 76
files a return. 77
5. The department shall promulgate rules to implement 78
the provisions of this section. Any rule or portion of a 79
rule, as that term is defined in section 536.010, that is 80
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created under the authority delegated in this section shall 81
become effective only if it complies with and is subject to 82
all of the provisions of chapter 536 and, if applicable, 83
section 536.028. This section and chapter 536 are 84
nonseverable and if any of the powers vested with the 85
general assembly pursuant to chapter 536 to review, to delay 86
the effective date, or to disapprove and annul a rule are 87
subsequently held unconstitutional, then the grant of 88
rulemaking authority and any rule proposed or adopted after 89
August 28, 2026, shall be invalid and void. 90
6. Pursuant to section 23.253 of the Missouri sunset 91
act: 92
(1) The program authorized pursuant to this section 93
shall automatically sunset six years after the effective 94
date of this section unless reauthorized by an act of the 95
general assembly; 96
(2) This section shall terminate on September first of 97
the calendar year immediately following the calendar year in 98
which the program authorized pursuant to this section is 99
sunset; and 100
(3) The provisions of this subsection shall not be 101
construed to impair or impede the state's fulfillment of any 102
obligations, including the authorization, issuance, or 103
redemption of tax credits, incurred pursuant to this section 104
prior to the date the program authorized pursuant to this 105
section is sunset. 106
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