The 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. It introduces a new section, 63-3029N, to the Idaho Code, which defines terms such as "academic instruction," "nonpublic school," "qualified expenses," and "qualifying child." The tax credit allows for a refundable credit of up to $9,500 for qualified expenses incurred on behalf of a qualifying child, who must be a full-time resident of Idaho and not enrolled in public education. The bill also outlines the administration of the credit, including eligibility requirements, the process for claiming the credit, and stipulations regarding the total amount of credits authorized.

Additionally, the bill emphasizes that the tax credit does not grant any government agency control over nonpublic schools or the educational choices of parents and guardians. It includes provisions for the state tax commission to audit claims and manage the total amount of credits issued, which is capped at $250 million per tax year. The act is declared to be severable, ensuring that if any part is found invalid, the remaining provisions will still stand. The bill is set to take effect immediately upon passage and is retroactively applicable to January 1, 2025.