Dioceses create Iowa Catholic Scholarship Granting Organization

by Diocese of Des Moines | August 11, 2026

Beginning in 2027, donors will receive a federal tax credit of up to $1,700 for contributions made to a Scholarship Granting Organization.

The four Catholic dioceses of Iowa have created the statewide Iowa Catholic Scholarship Granting Organization (Iowa Catholic SGO) to offer K-12 scholarships with funds raised through the upcoming federal “Education Freedom Tax Credit” program.

Beginning in 2027, donors will receive a federal tax credit of up to $1,700 for contributions made to a Scholarship Granting Organization. A tax credit reduces the amount of federal income tax owed dollar-for-dollar.

Under the law, students from a household with income not greater than 300 percent of the area’s median gross income could qualify for a scholarship. Uses of the scholarships could include tuition, fees, academic tutoring, classroom supplies, and before and after school programming.

“We are pleased by the upcoming opportunity to provide additional assistance for students who all have diverse and specialized needs,” says Steve Kane, director of Our Faith STO and member of the Iowa Catholic SGO board. “The Iowa Catholic SGO will be an efficient way to get dollars to students who need it.”

The Iowa Catholic SGO will also help donors provide additional support for students at their local Catholic school, as Education Savings Accounts do not cover the full cost of education.

There are 26,095 students presently enrolled in Iowa diocesan Catholic schools, composing the largest cohort among nonpublic school students in the State. The number of lower-income students and students with special needs in Catholic schools has also grown during the past few years.

This article was submitted by The Iowa Catholic Conference , a public policy agency of the Catholic Church in Iowa. Its Board of Directors includes the Catholic bishops of Iowa and lay people, priests, deacons and religious sisters. The diocesan bishops of Iowa are Archbishop Thomas Zinkula of Dubuque, Bishop William Joensen of Des Moines, Bishop Dennis Walsh of Davenport, and Bishop John Keehner of Sioux City.

Diocese of Des Moines

The Diocese of Des Moines, created in 1911, serves people over a 12,446 square mile area in the southwestern quadrant of Iowa, including 23 counties.