Title 26 — Internal Revenue CodeRelease 119-73
§139K Scholarships for Qualified Elementary or Secondary Education Expenses of Eligible Students
Title 26 › Subtitle Subtitle A— Income Taxes › Chapter 1— NORMAL TAXES AND SURTAXES › Subchapter B— Computation of Taxable Income › Part III— ITEMS SPECIFICALLY EXCLUDED FROM GROSS INCOME › § 139K
Summary
Scholarship money you or your dependent receive from a scholarship granting organization for qualified elementary or secondary education expenses of an eligible student is not counted in your gross income, so it is tax-free. This exclusion was added in 2025, and the key terms are defined under the related scholarship tax credit rules.
Full Legal Text
Title 26, §139K
Internal Revenue Code — Source: USLM XML via OLRC
(a)In the case of an individual, gross income shall not include any amounts provided to such individual or any dependent of such individual pursuant to a scholarship for qualified elementary or secondary education expenses of an eligible student which is provided by a scholarship granting organization.
(b)In this section, the terms “qualified elementary or secondary education expense”, “eligible student”, and “scholarship granting organization” have the same meaning given such terms under section 25F(c).
Legislative History
Notes & Related Subsidiaries
Delayed
Effective Date
of SectionFor delayed
Effective Date
of section, see
Effective Date
note below.
Statutory Notes and Related Subsidiaries
Effective Date
Section applicable to amounts received after Dec. 31, 2026, in taxable years ending after such date, see section 70411(c)(2) of Pub. L. 119–21, set out in an
Effective Date
of 2025 Amendment note under section 25 of this title.
Reference
Citations & Metadata
Citation
26 U.S.C. § 139K
Title 26 — Internal Revenue Code
Last Updated
Apr 6, 2026
Release point: 119-73