Montana tax credit that benefited religious schools is unconstitutional

December 13, 2018

Montana’s high court struck down the state’s tax credit for school scholarships because it primarily benefited religious schools, running afoul of Montana’s Constitution. The state program allowed donors who contributed to scholarship funds for students to reduce their state taxes by $1 for every $1 they gave to the fund.

Montana’s high court on Wednesday struck down the state’s tax credit for school scholarships because it primarily benefited religious schools, running afoul of Montana’s Constitution.

The state program allowed donors who contributed to scholarship funds for students to reduce their state taxes by $1 for every $1 they gave to the fund.

The Montana Department of Revenue had excluded religious programs from participating in the tax credit program because it allowed religious schools to benefit from public dollars.