In 2011, the Legislature passed The Oklahoma Equal Opportunity Education Scholarship Act, which authorized the creation of scholarship granting organizations (SGOs) and educational improvement grant organizations (EIGOs). SGOs issue scholarships for students who meet certain requirements to attend private schools, and EIGOs issue grants to public schools.
Under the Act, individuals and businesses can make a donation to either an SGO or EIGO and receive a tax credit of 50 percent for a one-time donation or 75 percent for a two-year donation, along with the standard charitable deduction. The maximum tax credit is $1,000 for an individual, $2,000 for a married couple, and $100,000 for a business. The total amount of tax credits that can be issued each year is $5 million. Of that total, credits for private school SGOs are capped at $3.5 million and credits for public school EIGOs are capped at $1.5 million.