The Federal Government Aims to Strip Schools’ Tax Exemption if They Consider Race

The Trump administration has proposed stripping private schools of their tax-exempt status if they consider race, furthering the administration's intense pressure on institutions that have sought diversity in their classrooms and educational access for minorities.

President Donald Trump's administration has repeatedly targeted efforts to benefit Black and other racial-minority students, saying many such policies violate the law in the wake of a 2023 Supreme Court ruling banning the use of race-conscious admissions. It recently has accused several medical schools of discriminating against White and Asian students in admissions, and has opened investigations into numerous universities.

Announced today, the Internal Revenue Service (IRS) and Treasury Department proposal would eliminate tax-exempt status for private schools that discriminate "on the basis of race, color or national or ethnic origin in administration of its educational, admissions, scholarship, athletic or other policies."

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