What is the Arizona State Tax Credit program? This program allows you to receive a dollar-for-dollar credit against Arizona state taxes owed when you make a donation to an eligible organization.
You can contribute up to the amount of your expected Arizona tax liability. You will pay about the same total amount whether you use the tax credits or just pay the tax. But by donating to the tax credit eligible organizations of your choice, you get a say in how the money is spent.
Generally, tax credit donations must be made by April 15, 2021, in order for them to apply to the 2020 year. For additional information, visit the Arizona Dept of Revenue state tax credit page.
Qualifying Charitable Organizations (QCO)
QCO contribution amounts eligible for credit: $400 for single filers/ $800 for joint. Click here for a list of qualifying charitable organizations.
Qualified Foster Care Charitable Organization (QFCO)
QFCO contribution amounts eligible for credit: $500 for single filers/ $1,000 for joint filers. Click here for a list of qualifying foster care organizations that are eligible for this credit.
Public School Credit
Public School contribution amounts eligible for credit: $200 for single filers/ $400 for joint. For additional information about this program, visit the AZ Dept of Revenue School Tax Credit page.
Private School Credit
Private School contribution amounts eligible for credit: $593 limit for single filers/ $1,186 limit for married filers. Click here for additional information and a list of tuition organizations certified to receive donations for this credit.
Arizona Military Family Relief Fund Credit
Contribution amounts eligible for credit: $200 for single filers/ $400 for joint. Contribute by going to the Arizona Military Family Relief Fund website. This donation must be made by December 31.
Strategy Financial Group does not provide specific legal or tax advice. Please consult with your tax advisor or legal professional for guidance with your individual situation.