Trump administration proposes stripping tax-exempt status from schools using race-based programs

  • by:
  • Source: Fox News
  • 09/06/2026

The Trump administration proposed new regulations on Thursday to revoke the tax-exempt status of private schools and colleges if they use race in admissions, scholarships or other school-administered programs, the latest effort by the federal government to root out diversity initiatives in education.

The rules, proposed by the Treasury Department ‌and Internal Revenue Service, aim to end what administration officials argue is discrimination against white students in favor of students of color.

"Schools rebranding race-based preferences as equitable, inclusive, or diversity-enhancing does not change their discriminatory nature," Treasury Secretary Scott Bessent said in a statement.

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