John Stegner would make ending Idaho's school-choice tax credit an early priority as governor, the independent candidate told a Boise audience Oct. 6. His proposed challenge targets a program that can help eligible families cover up to $5,000 in education expenses per child, with a higher limit for students who have a qualifying disability.
Republican Gov. Brad Little signed the measure in 2025. It has since moved from a legislative proposal into an operating benefit administered by Idaho's Tax Commission. Applications for its first funding cycle closed after the available allocation was committed.
The November governor's race now includes a direct disagreement over whether that assistance should continue.
Stegner puts repeal on his first-priority list
Stegner, a retired Idaho Supreme Court justice, identified the Parental Choice Tax Credit as a policy he wants repealed. At the forum, he said he would try to pursue litigation against it and argued that state support for private-school and homeschool students is unconstitutional. That was the candidate's position, not a new court ruling.
He appeared alongside Democratic candidate Terri Pickens at South Junior High School. The League of Women Voters of Idaho and other nonprofit groups sponsored the 90-minute question-and-answer event. Audience members and organizers supplied questions.
Pickens described a different first priority: a state budget that would restore revenue and spending reduced during the 2026 legislative session. She identified mental health services, Medicaid expansion and public education as areas she would address. Little did not participate in the forum.
For parents, the immediate distinction is between a campaign promise and the program's current status. Stegner's remarks did not close an application window or cancel an award. The state's program website still lists another application period for early 2027.
The benefit reaches parents, with a spending ceiling
Little's signature on House Bill 93 established the credit for qualifying nonpublic K-12 education expenses. The state describes it as a way for parents to select educational services suited to their children. Full-year Idaho residency is among the program's requirements.
The standard maximum is $5,000 for each eligible student. A child with a qualifying disability can receive a credit of up to $7,500. Those are ceilings, not automatic payments to every applicant.
The program is refundable, and an approved credit for 2025 expenses is claimed on the household's Idaho Form 40 income-tax return. Parents must have applied and received an award before claiming it.
Income affects access. In the first cycle, households with modified adjusted gross income at or below 300 percent of the applicable federal poverty level received priority. Families above that threshold could also seek a credit, but were placed behind priority applicants.
A separate advance-payment option was available to eligible lower-income households. The upfront award can be used only for qualifying expenses and is limited to one per student over their K-12 education. Recipients must retain receipts and later provide them to the Tax Commission.
For taxpayers, the allocation is bounded. On July 17, the commission announced that applications had closed because the program had reached the nearly $50 million limit for that year. State law required closure when the maximum was reached or by Aug. 15, whichever happened first.
Another application round is scheduled after the election
The state lists Jan. 15 through March 15, 2027, as the window for the 2026 tax credit or an advance payment awarded in 2027. Applications are submitted through a Taxpayer Access Point account, and submitting one does not guarantee approval.
Parents seeking reimbursement for qualifying expenses need to keep their records. The application process and the income-priority rules remain separate from the candidates' positions on whether the law should survive.
Idaho votes for governor Nov. 3. For families using nonpublic education, one concrete stake is now explicit: Stegner wants to challenge the assistance Little signed into law, while the state is preparing for its next application cycle.