The ECENC program was reorganized by the SC General Assembly in 2016. The program includes the Parental Refundable Tax Credit, the Educational Credit for Exceptional Needs Children’s Fund, and scholarship grants provided through Exceptional SC.
WHEN:
The SCDOR will begin accepting the 2025 Parental Refundable Credit application on MyDORWAY at 8:30a.m. on February 2, 2026.
WHO:
Parents and guardians are encouraged to take time to review the checklist and instructions below before applying.
Create your MyDORWAY account - To create your MyDORWAY account, get started at dor.sc.gov/MyDORWAY-signup.
If you meet both requirements listed above, you can apply on MyDORWAY once the application opens. You will access the application by:
The application opens at 8:30 a.m. on February 2, 2026. You cannot apply before this time.
Take time to gather the following information before February 2, 2026:
Parent information
Household information for the 2025 calendar year
Qualifying student information
Eligible school names and attendance dates
Tuition cost for the qualifying student
After you submit your completed application, you will be prompted to enter your MyDORWAY password, which will serve as your signature.
It's a good idea to familiarize yourself with where the Parental Refundable Credit Application is located on MyDORWAY before the application opens. Be sure to use the same device that you will use when filing your application on February 2, 2026.
Do not claim the credit until you have received the Parental Refundable Credit Approval Notice.
If you filed your SC1040 before receiving the Parental Refundable Credit Approval Notice:
Questions? Check out our FAQs below or email TaxCredits@dor.sc.gov.
Applications are reviewed on a first come, first served basis according to the applicants’ representations as long as the $2 million* cap has not been met.
If Exceptional SC receives less than $12 million in donations, then the Parental Refundable Credit cap of $2 million may be increased by up to $3 million. The combined credit cap cannot exceed the authorized total of $14 million.
The calendar year for this tax credit is from January 1 through December 31.
The SCDOR does not provide information related to submissions by other applicants. Information in summary format will be provided to the General Assembly at a later date for the current year applications. The annual credit cap is then recorded and posted at the bottom of this page.
The maximum amount of Parental Refundable Credit that can be requested for each qualifying student is $11,000 or the amount paid for tuition, whichever is less, minus the amount of scholarship the qualifying student received from Exceptional SC (if applicable).
No. Keep proof of eligibility with your important tax documents.
A list of eligible schools is periodically updated by the Education Oversight Committee (EOC).
Yes. Add the total cost of tuition that is charged by the eligible school for the semester attended from January 1, 2025 – June 30, 2025 or July 1, 2025 – December 31, 2025.
Yes. A separate Parental Refundable Credit Application is required for each qualifying student.
Enter the qualifying student's total cost of tuition that is charged by the eligible school for the 2025 Spring, Summer, and Fall semesters. If the eligible school provides only the full school year's tuition, then enter only the tuition amount for the semesters attended.
In keeping with the security objectives of the SCDOR, MyDORWAY supports browsers with built-in malware protection capabilities, including up-to-date versions of:
If you are tentatively approved for the Parental Refundable Credit, the SCDOR will issue a Parental Refundable Credit Approval Notice showing the tentatively approved credit amount.
The SCDOR tentatively approves the credit based solely upon the information reported on the Application for Parental Refundable Credit. After you have claimed the tax credit, the tax credit is subject to review and audit regardless of the tentatively approved credit reported on the notice.
The SCDOR will issue all Parental Refundable Credit Approval Notices through MyDORWAY, within 30 business days of the filing of the Parental Refundable Credit Application.
No. You cannot make changes to increase your credit.
If incorrect information was reported on your application and the corrections result in a lower credit, send the SCDOR a web message explaining the changes. To get started, log in to MyDORWAY, select the More tab, then click Send the SCDOR a Message.
No. The Parental Refundable Credit will be included in your Individual Income Tax refund.
The SCDOR will begin accepting the 2025 Application for Parental Refundable Credit on February 2, 2026, at 8:30 a.m. Once approved, applicants who receive an approval notice can review the instructions above for claiming the refund.
Parents or guardians of exceptional needs students can pay the student’s tuition at an eligible school, then apply for a tax credit toward their South Carolina Income Tax bill as outlined below:
SC Code 12-6-3790 provides that South Carolina Parental Refundable Tax Credits may not exceed $2 million for each tax year.*
Exceptional SC is now accepting tax year 2026 donations. For more information, visit exceptionalsc.org/donors/scholarship-fund.
Anyone can donate to the Exceptional SC 501(c)(3) scholarship fund. Individuals and corporations who pay South Carolina taxes can make a donation to Exceptional SC and claim a dollar-for-dollar tax credit against their South Carolina Individual Income Tax or Corporate Income Tax liability.
A taxpayer may not claim more than 75% of their total South Carolina tax liability for the year the contribution was made. If a taxpayer deducts the amount of the contribution on their federal return and claims the nonrefundable credit, they must add back the amount of the deduction for South Carolina Income Tax purposes. Donors are:
For tax year 2021 and forward, unused credits can be carried forward for up to three years.
Visit ExceptionalSC.org/donate for more information and to make a donation. SC Code Section 12-6-3790 provides that South Carolina tax credits for donations to Exceptional SC may not exceed $12 million for each tax year.* However, Exceptional SC may carry forward up to $5 million of donations into the next year to provide credits in the next year. This carryforward amount does not increase the cumulative tax credit amount for any one year.
*If Exceptional SC receives less than $12 million in donations in a tax year, then the Parental Refundable Tax Credit cap of $2 million may be increased by up to $3 million. The combined credit cap cannot exceed the authorized total of $14 million.
