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Trump administration proposes ending tax-exempt status for schools favoring minority students

On September 3, 2026, the Trump administration announced a proposal to revoke tax-exempt status for private schools that favor minority students. The Treasury Department and IRS aim to create a clear standard regarding discriminatory practices in education.

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Donald Trump

The Trump administration proposed on September 3, 2026, to end the tax-exempt status for private schools that provide preferential treatment to minority students. The Treasury Department and the Internal Revenue Service (IRS) issued a proposed regulation aimed at establishing a clear standard, stating that institutions that continue to engage in discriminatory practices will no longer qualify for federal tax-exempt status.

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Original Headline

Trump moves to end tax-exempt status for schools that help minority students

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Trump administration proposes ending tax-exempt status for schools favoring minority students