Texas Governor Signs Law Creating Strong Families Tax Credit

The Texas Governor signed a law creating a new tax credit called the “Strong Families Credit”. The tax credit applies to franchise taxes for entities that contribute to certain eligible nonprofit organizations providing services to at-risk families or assisting fathers in parenting. The law outlines qualifications for nonprofits to be certified as eligible organizations and requirements for how contributed funds must be used. The law takes effect on June 1, 2026. [S.B. 2018, enacted 06/20/25]

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.