This bill establishes the Idaho Parental Choice Tax Credit, aimed at providing financial relief to parents and legal guardians who choose educational options outside of public schooling for their children. The legislation emphasizes the importance of parental choice in education and seeks to alleviate the financial burden associated with nonpublic schooling. The new section, 63-3029N, outlines the definitions of key terms such as "academic instruction," "nonpublic school," and "qualified expenses," which include tuition, educational materials, and transportation costs for children not enrolled in public education. The tax credit allows for a refundable credit of up to $9,500 per qualifying child for expenses incurred, with a total cap of $250 million on credits issued annually.

Additionally, the bill includes provisions to ensure that the tax credit does not constitute taxable income and mandates that parents retain documentation of expenses for verification purposes. It also clarifies that the implementation of this tax credit does not grant any government agency control over nonpublic schools or alter the responsibilities of parents regarding their children's education. The act is declared to be in effect immediately upon passage and is retroactively applicable from January 1, 2025.